Southeast Natural Gas Basis Surges Amid Capacity Constraints

As September's cooling demand lingers, natural gas basis in the Southeast has strengthened sharply relative to October. According to the Daily Gas Price Index, September natural gas basis across the Southeast has surged compared to October as pipeline systems run near capacity.

The Florida Gas Zone 3 spread has doubled, indicating a significant increase in prices for September delivery compared to October. Transco's CS 60 runs near limits, further exacerbating the supply constraints.