Summer’s Arrival to Prompt Surge in Natural Gas Demand

1016 GMT – Warm weather in North America is poised to prompt a surge in natural gas demand that should boost prices from their lows, Rystad Energy says. Henry Hub natural gas prices have spent recent months bouncing along their lows. The U.S. gas benchmark edged up 0.5% Wednesday at $2.50 per million British thermal units. Strong supplies and cooler weather have kept prices suppressed, says Rystad. But with temperatures rising, boosting demand for power for cooling at home and in offices, the consultancy expects prices to climb steadily higher. “Summer has arrived with a bang and demand is set to surge,” the firm’s analysts say in a note. Rystad expects prices to average $2.91 per mmbtu for the year. (william.horner@wsj.com)