US Natural Gas Production Surges Despite Record Heat

Despite hot weather, natural gas storage in the US continues to build up, driven by increasing production. The latest data shows that lower-48 dry gas production reached a record high of 114.4 Bcf per day on August 14, up 4% year-over-year.

The demand for natural gas was also strong, reaching 81.6 Bcf per day, but the gap between output and consumption remains wide, leading to increased storage levels.

Baker Hughes reported that the active natural gas rig count rose four to 128 for the week ending August 14, which is still below the three-year high of 134 in February, but the direction is wrong for buyers hoping production would slow down.