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I'm not sure that it means anything to the average GHS member with natural gas production.   I suspect it means a lot to traders and analysts.  And pipeline companies.  I think this is a reflection of the growing supply from relatively new unconventional basins and the fragmentation of traditional markets.  Supply is coming from new regions with immature infrastructure and limited connection to markets where natural gas should find increase demand.  About the only Hub mentioned in the past was Henry Hub.  Now there is speculation that other hubs may be a better barometer of supply, demand and price.  Here is the IEA US price breakdown by region for spot prices.  New England is worth noting as it similarly situated to the Marcellus/Utica basin as is the Mid-Atlantic and New York City regions.  The hefty price differential is owing to limited infrastructure to move that gas to market.  The Mid-West has proximity to new supplies as does the Southwest and Houston regions. It may take another decade to "re-plumb" the interstate pipeline system to make the logical connections between producing regions and end users.

Select Spot Prices for Delivery Today
Region Natural Gas
($/million Btu)
Electricity
($/MWh)
Spark
Spread

($/MWh)
Price Percent
Change*
Price Percent
Change*
New England 2.50 NA 29.63 +42.4 12.13
New York City 1.74 NA 28.64 +24.4 16.45
Mid-Atlantic 1.44 NA 30.36 +30.5 20.26
Midwest 2.05 NA 25.30 +29.8 10.99
Louisiana 2.06 NA 23.50 NA 9.10
Houston 2.00 NA 22.50 NA 8.52
Southwest 2.06 NA 21.75 NA 7.30
Southern CA 2.17 NA 31.30 +18.5 16.12
Northern CA 2.64 NA 32.58 +19.3 14.07
Northwest 2.37 NA 24.75 NA 8.17

thanks. that's a better explanation than the boerreport.

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