Natural Gas Prices Decline Across Key U.S. Hubs
Natural gas prices dropped sharply at major U.S. hubs this week, including the Henry Hub benchmark in Louisiana and regional hubs tied to Oklahoma’s energy market.
The Henry Hub spot price fell 53 cents, dropping from $3.33 to $2.80 per MMBtu between October 8 and October 15. Futures prices also dipped, with the November 2025 NYMEX contract falling 32 cents to $3.016 per MMBtu.
The 12-month futures strip from November 2025 through October 2026 averaged $3.681 per MMBtu, down 22 cents from last week.
Texas and Southeast Prices Reflect Cooling Demand
Across the Southeast and Texas, natural gas prices mostly fell as cooler temperatures reduced air-conditioning demand.
At Florida Gas Zone 3, prices declined 67 cents, from $3.86 to $3.19 per MMBtu, the highest among major non-California hubs.
Average temperatures in the Southeast dropped 4°F to 71°F, cutting cooling degree days (CDDs) by more than 100. As a result, natural gas consumption in Florida’s power sector fell 19%, or 0.8 billion cubic feet per day, according to LSEG Data.
In Texas, the Houston Ship Channel price dropped 62 cents to $2.35 per MMBtu, while the Waha Hub, near the Permian Basin, rebounded from –$1.66 to $1.02 per MMBtu.
Permian Maintenance Wraps Up
The price jump at the Waha Hub followed the end of maintenance on the Permian Highway Pipeline, which carries natural gas toward Corpus Christi’s Agua Dulce hub. Maintenance had reduced mainline capacity by 45% since early October.
With temperatures in Texas averaging 76°F, total cooling demand dropped 35 CDDs compared to last week.
Oklahoma’s Energy Market Impact
Oklahoma’s midstream network connects the Permian Basin and Gulf Coast markets, meaning price changes in Texas ripple through Oklahoma producers and utility providers.
Lower natural gas prices could help utilities reduce generation costs ahead of winter, but producers may face slimmer profit margins in October and November trading.
Market analysts expect modest price stabilization next week if regional temperatures remain near normal.
