Visit: natgasintel.com

Reporting on the Natural Gas marketplace since 1981

1 NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM

MARKETS REPORTNymex Natural Gas Futures Crumble on Warming April Forecast; Cash Weakens Further

Natural gas futures took a dramatic fall after the Easter holiday weekend as weather forecasts shifted much warmer for the next couple of weeks. With April on pace to be warmer than normal, the May Nymex gas futures contract plunged 12.8 cents Monday to settle at $2.511/MMBtu. June fell 11.5 cents to $2.582.

Spot gas prices also posted sharp losses across the country amid very light demand. NGI’s Spot Gas National Avg. dropped 16.0 cents to $2.185.

Monday’s steep price drops along the Nymex futures curve were a sharp deviation from last week’s price action. Prices during the short trading week leading up to Easter shifted less than a nickel each day.

LIQUEFIED NATURAL GASKKR Eyes Infrastructure Growth with Stakes in Sempra’s Gulf Coast, Mexico LNG Projects

Global investment firm KKR is buying a stake in a Sempra Energy business unit that manages liquefied natural gas (LNG) projects on the Gulf Coast and in Mexico as it anticipates growth in North American energy infrastructure.

Under the terms of the deal an-nounced Monday, KKR will pay $3.37 billion for a 20% non-controlling interest in the Sempra Infrastructure Partners subsidiary.

“Over the next …cont' pg. 12

…cont' pg. 3

REGULATORYMixed Reaction from Natural Gas, Oil Industry as $2T Biden Infrastructure Plan Targets Decarbonization, Taxes

President Biden’s $2.25 trillion American Jobs Plan has generated mixed reactions from the fossil energy industry, as Biden is asking Congress to raise corporate taxes in order to ac-celerate the clean energy transition.

The jobs and infrastructure pack-age underscores the “whole-of-govern-ment” approach Biden is taking toward climate and energy policy, a shift from previous administrations.

Natural gas and oil industry groups praised the plan’s objectives, such as the expansion of incentives for capturing and storing carbon dioxide (CO2), but said the adminis-tration should be clearer about how hydrocarbons fit into Biden’s “Build Back Better” mandate for

ANALYSISWith Strong Demand and Choppy Supply, Outlook Brightens for NGL Prices, Raymond James Says

Natural gas liquids (NGLs), a byproduct of oil and gas produc-tion, could benefit from global demand and supply disruptions in 2021, paving a path for rising prices as the year wears on, analysts

at Raymond James & Associates Inc. said in a new forecast.

“We still think U.S. NGLs have a pretty bullish set-up, similar to U.S. natural gas,” the Raymond James team said. “We continue to believe the relative U.S. NGL supply headwinds and demand strength in 2021-plus are under-appreciated by the market.”

The analysts forecasted U.S. com-posite NGL average prices for 2021 of $0.67/gallon (about $28/bbl) and $0.64 for 2022 ($27/bbl).

TUESDAY, APRIL 6, 2021 - VOL. 28, NO. 186

Pioneer Natural Building Permian Midland Stronghold with $6.4B DoublePoint Deal

…cont' pg. 11

…cont' pg. 10

Previous 5 Days Table

Mar 29

Mar 30

Mar 31

Apr 01

Apr 05

May Futures 2.653 2.623 2.608 2.639 2.511

Henry Hub 2.510 2.460 2.485 2.470 2.365

Chicago 2.330 2.405 2.545 2.400 2.225

AGT Citygate 1.940 1.915 2.535 2.250 1.930

Opal 2.310 2.330 2.400 2.345 2.215

SoCal Bdr. Avg. 2.370 2.500 2.540 2.500 2.405

NOVA 2.570 2.575 2.520 2.545 2.415More Detailed Market Prices on Pages 2-4.

INSIDE THIS ISSUE

Dominion’s Long-Time Chief Tom Farrell Dies . . . . . . . . . . . . 7

U .S . Electric Utility Spending Climbing on Transmission Investments, Says EIA . . . . . . 10

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM2

CASH MARKET PRICES

…cont' pg. 3

Trade Date: Apr 05; Flow Date(s): Apr 06RANGE AVG CHG VOL DEALS

REX into Trunk - Douglas 2.140-2.150 2.145 -0.215 93 14St. Clair -- -- -- -- --Midwest Regional Avg. 2.050-2.500 2.225 -0.150 5,554 926

MidcontinentANR SW 2.100-2.190 2.120 -0.155 97 23El Paso Anadarko -- -- -- -- --Enable East 2.120-2.120 2.120 -0.190 5 2NGPL Midcontinent 2.080-2.150 2.130 -0.165 411 71Northern Border Ventura 2.150-2.170 2.160 -0.160 60 6Northern Natural Demarc 2.120-2.175 2.165 -0.145 98 28Northern Natural Gas 8-12 -- -- -- -- --Northern Natural Gas 13-16A -- -- -- -- --Northern Natural Ventura 2.160-2.185 2.175 -0.150 360 50OGT 2.000-2.050 2.050 -0.100 42 12Panhandle Eastern 1.990-2.070 2.030 -0.120 154 38Southern Star 2.120-2.160 2.130 -0.120 64 9Transwestern Panhandle Pool -- -- -- -- --Midcontinent Regional Avg. 1.990-2.190 2.120 -0.145 1,290 239

North Louisiana/ArkansasEnable South -- -- -- -- --NGPL Gulf Coast Mainline -- -- -- -- --Perryville -- -- -- -- --Texas Eastern, M1, 24 -- -- -- -- --Texas Gas Zone 1 2.090-2.240 2.180 -0.125 707 111Trunkline Zone 1A 2.140-2.180 2.160 -0.115 149 26N. LA Regional Avg. 2.090-2.240 2.170 -0.135 856 137

South LouisianaANR SE 2.150-2.170 2.155 -0.315 17 6Bobcat Storage -- -- -- -- --Columbia Gulf Mainline 2.020-2.150 2.070 -0.120 218 36Columbia Gulf onshore 2.280-2.350 2.310 -0.115 221 40Egan Hub 2.400-2.450 2.435 -0.050 65 5Florida Gas Zone 2 -- -- -- -- --Henry Hub 2.290-2.425 2.365 -0.105 305 40Pine Prairie 2.320-2.350 2.335 -0.100 136 26Southern Natural 2.280-2.375 2.350 -0.120 633 85Tennessee Line 500 2.285-2.365 2.330 -0.135 267 44Tennessee Line 800 2.135-2.235 2.195 -0.160 69 18Texas Eastern E. LA 2.120-2.250 2.200 -0.065 48 10Texas Eastern W. LA 2.310-2.400 2.360 -0.085 279 50Texas Gas Zone SL -- -- -- -- --Transco Zone 3 2.270-2.350 2.315 -0.130 389 64Trunkline E. LA 2.300-2.300 2.300 -0.090 1 2Trunkline W. LA -- -- -- -- --S. LA Regional Avg. 2.020-2.450 2.285 -0.130 2,645 426

SoutheastDominion Energy Cove Point 2.140-2.140 2.140 -0.340 175 9FGT Citygate 2.415-2.485 2.445* -- -- --Florida Gas Zone 3 2.300-2.360 2.325 -0.185 177 34Southern Pines -- -- -- -- --Tenn Zone 1 100L 2.110-2.200 2.165 -0.135 139 22Tenn Zone 1 non-St. 87 -- -- -- -- --Tenn Zone 1 St. 87 2.110-2.200 2.165 -0.130 139 22Texas Eastern M-1, 30 2.240-2.240 2.240 -0.110 1 2Transco Zone 4 2.255-2.350 2.305 -0.150 760 128Transco Zone 5 2.320-2.350 2.335 -0.190 41 18Transco Zone 5 North 2.350-2.350 2.350 -0.165 4 2Transco Zone 5 South 2.320-2.350 2.335 -0.190 37 16Southeast Regional Avg. 2.110-2.485 2.280 -0.150 1,291 213

AppalachiaColumbia Gas 1.870-1.930 1.890 -0.195 389 94Dominion North 1.715-1.760 1.730 -0.250 77 20Dominion South 1.670-1.770 1.725 -0.265 521 118

Trade Date: Apr 05; Flow Date(s): Apr 06RANGE AVG CHG VOL DEALS

South TexasAgua Dulce 2.350-2.420 2.400 -0.050 32 3Florida Gas Zone 1 -- -- -- -- --NGPL S. TX -- -- -- -- --Tennessee Zone 0 South 2.300-2.335 2.310 -0.045 175 34Texas Eastern S. TX 2.340-2.380 2.360 -0.110 270 36Transco Zone 1 2.290-2.290 2.290 -0.110 15 4Tres Palacios 2.325-2.395 2.360 -0.050 110 27S. TX Regional Avg. 2.290-2.420 2.345 -0.075 601 104

East TexasAtmos Zone 3 1.800-2.010 1.930 -0.345 13 10Carthage 2.110-2.130 2.120 -0.175 47 6Golden Triangle Storage 2.450-2.500 2.480 -- 50 4Houston Ship Channel 2.360-2.360 2.360 -0.030 20 4HPL - East Texas Pool -- -- -- -- --Katy 2.290-2.400 2.355 -0.040 528 69Maypearl -- -- -- -- --Moss Bluff 2.450-2.560 2.505 -0.045 272 24NGPL TexOk 2.125-2.260 2.180 -0.140 1,086 153Tennessee Zone 0 North 2.150-2.200 2.155 -0.140 45 12Texas Eastern E. TX 2.180-2.190 2.190 -0.160 24 6Tolar Hub -- -- -- -- --Transco Zone 2 -- -- -- -- --E. TX Regional Avg. 1.800-2.560 2.255 -0.105 2,082 288

West Texas/SE New MexicoEl Paso Permian 2.010-2.250 2.135 -0.015 573 106El Paso - Keystone Pool 2.050-2.250 2.155 -0.005 254 54El Paso - Plains Pool 2.130-2.150 2.140 -0.035 20 4El Paso - Waha Pool 2.010-2.250 2.115 -0.030 300 48Northern Natural Gas 1-7 2.050-2.070 2.065 -0.135 13 4Oneok WesTex 2.050-2.120 2.085 -0.075 45 9Transwestern 2.030-2.050 2.035 -0.115 26 6Transwestern - Central -- -- -- -- --Transwestern - W. TX 2.030-2.050 2.035 -0.115 26 6Waha 2.000-2.250 2.105 -0.045 612 112W. TX/SE NM Regional Avg. 2.000-2.250 2.095 -0.065 924 180

MidwestAlliance 2.120-2.250 2.215 -0.165 747 86ANR ML7 2.350-2.450 2.445 -- 12 3Bluewater Hub -- -- -- -- --Chicago Citygate 2.100-2.500 2.225 -0.175 216 42Chicago - Nicor Gas 2.430-2.500 2.455 -0.320 17 6Chicago - NIPSCO 2.100-2.230 2.195 -0.170 150 24Chicago - North Shore -- -- -- -- --Chicago - Peoples 2.230-2.245 2.240 -0.135 50 12Consumers Energy 2.330-2.370 2.355 -0.110 737 110Dawn 2.325-2.415 2.360 -0.105 1,917 322Defiance 2.080-2.170 2.145 -0.110 58 16Rover-ANR 2.080-2.080 2.080 -0.170 3 2Rover-Panhandle 2.140-2.170 2.150 -0.110 55 14Emerson 2.210-2.330 2.280 -0.125 274 65Joliet 2.120-2.250 2.215 -0.165 747 86Lebanon 2.100-2.170 2.135 -0.155 135 26Michigan Consolidated 2.300-2.350 2.340 -0.100 623 105NGPL Amarillo Mainline 2.050-2.170 2.150 -0.145 169 30NGPL Iowa-Illinois -- -- -- -- --NGPL MidAmerican 2.220-2.250 2.245 -0.155 130 14Parkway/Union 2.355-2.435 2.410 -0.085 97 33REX Zone 3 Delivered 2.060-2.165 2.140 -0.160 443 74REX into ANR - Shelby 2.060-2.150 2.125 -0.145 74 24REX into MGT - Edgar 2.100-2.160 2.140 -0.150 65 12REX into NGPL - Moultrie 2.130-2.165 2.145 -0.160 203 22REX into PEPL - Putnam 2.100-2.100 2.100 -- 10 2

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM 3

Over the three-day weekend, though, the European and Ameri-can weather models both posted large degree day losses in Weeks 1 and 2 that led to projected demand contracting by 18 Bcf, according to EBW Analytics Group.

The May Nymex futures contract flirted with the $2.50 level, and even sank below it, throughout much of Monday’s session. The prompt month ultimately settled near the low end of the roughly 13.0-cent range.

There is support for a cooler trough to move into the eastern United States toward the middle of the month, according to Bespoke Weather Services. However, this is only expected to bring demand back up toward near-normal levels at this time, keeping April on pace to be yet another warmer-than-normal month “rather easily.

“While there can be some variability at times, our view is that the general warmer-than-normal regime will continue to roll along,

which is bearish for a few more weeks, before cooling degree days begin to take over more as we get toward the middle part of May.”

In addition to the warmer changes in the weather data, Bespoke noted that production was revised higher, up to near 90 Bcf. The bigger story, it said, remains the weakness in power burns. “It was a holiday weekend, of course, but these burns, even when adjusting for weather, are still very weak, with lower prices the last few weeks doing very little to bring in more demand, at least so far.”

Given the weak backdrop, natural gas speculator net long posi-tioning fell through March 30 — the sixth straight week of declines, according to EBW. Net long positions have now reached their lowest level since July 2020.

“While longs declined by 22,000 contracts, short interest also slipped by 14,000 contracts — the second straight week of declining shorts,” EBW said.

One obstacle for gas futures in recent months has …cont' pg. 4

CASH MARKET PRICES

…from MARKETS REPORT - Nymex Natural Gas Futures Crumble, pg., 1

Trade Date: Apr 05; Flow Date(s): Apr 06RANGE AVG CHG VOL DEALS

Leidy Hub 1.625-1.635 1.630 -- 11 2Millennium Delivered -- -- -- -- --Millennium East Pool 1.750-1.775 1.765 -0.180 73 17Tenn Zone 4 200L 1.980-2.020 2.005 -0.270 98 18Tennessee Zn 4 313 Pool 1.720-1.760 1.745 -0.200 20 8Tennessee Zn 4 Marcellus 1.585-1.610 1.600 -0.220 115 34Texas Eastern M-2, 30 Delivery -- -- -- -- --Texas Eastern M-2, 30 Receipt 1.650-1.750 1.700 -0.310 385 92Texas Eastern M-3, Delivery 1.740-1.835 1.775 -0.345 307 61Texas Eastern M-3, Receipt -- -- -- -- --Transco-Leidy Line 1.610-1.650 1.630 -0.210 199 51Appalachia Regional Avg. 1.585-2.020 1.745 -0.270 2,192 515

NortheastAlgonquin Citygate 1.850-2.150 1.930 -0.320 80 22Algonquin Citygate (non-G) 1.850-1.950 1.895 -0.355 69 16Algonquin Receipts 1.750-1.800 1.790 -0.260 21 5Dracut -- -- -- -- --Iroquois Zone 1 -- -- -- -- --Iroquois Zone 2 2.220-2.350 2.305 -0.225 244 61Iroquois, Waddington 2.300-2.330 2.320 -0.175 61 20Maritimes & Northeast -- -- -- -- --Niagara 1.970-1.970 1.970 -0.230 10 2PNGTS 2.500-2.600 2.570 -0.120 44 15E Hereford/Pittsburg -- -- -- -- --PNGTS Non-Border 2.500-2.600 2.570 -0.120 44 15Tenn Zone 5 200L 1.825-2.050 1.895 -0.440 256 11Tenn Zone 5 200L East 1.950-2.050 1.980 -0.500 44 3Tenn Zone 5 200L West 1.825-2.050 1.880 -0.270 213 8Tenn Zone 5 300L -- -- -- -- --Tenn Zone 6 200L 1.900-2.450 2.180 -0.295 87 19Tenn Zone 6 200L North 2.400-2.450 2.440 -0.150 23 3Tenn Zone 6 200L South 1.900-2.250 2.085 -0.325 64 16Tenn Zone 6 300L -- -- -- -- --Transco Zone 6 non-NY 1.750-1.800 1.770 -0.330 355 70Transco Zone 6 non-NY North 1.750-1.800 1.770 -0.330 355 70Transco Zone 6 non-NY South -- -- -- -- --Transco Zone 6 NY 1.740-1.795 1.760 -0.385 63 13Northeast Regional Avg. 1.740-2.600 2.065 -0.345 1,216 238

Rocky MountainsCheyenne Hub 2.040-2.160 2.135 -0.130 437 56

Trade Date: Apr 05; Flow Date(s): Apr 06RANGE AVG CHG VOL DEALS

CIG 2.130-2.140 2.135 -0.105 78 16CIG DJ Basin -- -- -- -- --El Paso Bondad 2.080-2.200 2.185 -0.050 92 14El Paso San Juan 2.150-2.200 2.190 -0.065 139 18Kern River 2.190-2.220 2.210 -0.125 421 92Kingsgate 2.125-2.160 2.145 -0.020 27 12Northwest S. of Green River 2.070-2.145 2.115 -0.135 92 19Northwest Sumas 2.190-2.300 2.225 -0.215 240 68Northwest Wyoming Pool 2.150-2.200 2.170 -0.090 144 24Opal 2.200-2.220 2.215 -0.130 74 22Questar 2.155-2.200 2.160 -0.135 30 8Ruby - Receipts 2.200-2.230 2.215 -0.100 70 14Stanfield 2.245-2.320 2.270 -0.085 68 12Transwestern San Juan 2.195-2.230 2.200 -0.040 62 9White River Hub 2.100-2.165 2.135 -0.105 93 18Rocky Mtns. Regional Avg. 2.040-2.320 2.180 -0.095 2,054 398

Arizona/NevadaEl Paso S. Mainline/N. Baja 2.350-2.400 2.375 -0.125 78 14Kern Delivery 2.300-2.410 2.370 -0.140 343 62

CaliforniaMalin 2.260-2.350 2.300 -0.060 418 104PG&E Citygate 3.520-3.590 3.555 -0.070 595 104SoCal Citygate 2.825-2.850 2.830 -0.130 7 4Southern Border, PG&E 2.310-2.330 2.315 -0.040 110 26SoCal Border Avg. 2.250-2.500 2.405 -0.095 372 72SoCal Border - Blythe -- -- -- -- --SoCal Border - Ehrenberg 2.350-2.400 2.385 -0.140 108 22SoCal Border - Kern River Station 2.380-2.460 2.430 -0.085 144 31SoCal Border - Kramer 2.430-2.450 2.440 -0.060 72 12SoCal Border - Needles 2.250-2.500 2.330 -0.055 50 7SoCal Border - Topock -- -- -- -- --SoCal Border - Wheeler Ridge -- -- -- -- --California Regional Avg. 2.250-3.590 2.555 -0.080 1,500 310National Avg. 1.585-3.590 2.185 -0.160 22,620 4,050

CanadaAlliance (APC) - ATP 2.400-2.500 2.490 -0.165 210 30Empress 2.380-2.480 2.430 -0.115 669 90NOVA/AECO C 2.370-2.475 2.415 -0.130 2,691 505Westcoast Station 2 2.280-2.350 2.300 -0.100 297 64

Prices are in U.S.$/MMBtu except locations in the Canada section which are in Cdn$/GJ. The deals column represents the number of transactions used by NGI in the calculation of the price. The volume column is the sum of the volume of those deals, in thousand MMBtus/day. Volumes may not total because of rounding. The data upon which we derive our indexes include both data provided to NGI from the ICE trading platform as well as submitted directly from companies who are principals to the trade. For more information, please see NGI's Price Methodology.

*FGT Citygate assessed using next-day basis to Florida Gas Zone 3. Other points with asterisks assessed using ICE bid/offer spreads and historical price differentials to highly correlated locations.

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM4

weather/Covid-19 addled pace. They noted that the end-of-season curve is slipping, which “does not happen in bull markets.”

The Schork Group gives storage inventories at the end of October a 50/50 chance of coming in at 3,851 Bcf. It

Trade Date: Apr 05CONTRACT OPEN HIGH LOW SETTLE CHANGE

May-21 2.5930 2.6160 2.4880 2.5110 -0.1280Jun-21 2.6550 2.6740 2.5580 2.5820 -0.1150Jul-21 2.7240 2.7370 2.6290 2.6570 -0.1040Aug-21 2.7490 2.7590 2.6570 2.6880 -0.0940Sep-21 2.7340 2.7460 2.6470 2.6810 -0.0880Oct-21 2.7500 2.7610 2.6640 2.7020 -0.0810Nov-21 2.8330 2.8360 2.7430 2.7820 -0.0730Dec-21 2.9600 2.9650 2.8800 2.9210 -0.0610Jan-22 3.0520 3.0570 2.9740 3.0140 -0.0560Feb-22 2.9880 2.9960 2.9230 2.9610 -0.0500Mar-22 2.8280 2.8280 2.7640 2.7940 -0.0410Apr-22 2.4880 2.4880 2.4540 2.4790 -0.0100May-22 2.4350 2.4480 2.4160 2.4380 -0.0100Jun-22 2.4550 2.4720 2.4500 2.4700 -0.0100Jul-22 2.4920 2.5050 2.4850 2.5050 -0.0100Aug-22 2.4990 2.5160 2.4910 2.5120 -0.0090Sep-22 2.4840 2.4960 2.4760 2.4960 -0.0090Oct-22 2.5060 2.5190 2.5000 2.5190 -0.0100Nov-22 2.5750 2.5870 2.5680 2.5860 -0.0110Dec-22 2.7430 2.7520 2.7350 2.7520 -0.0130Jan-23 2.8440 2.8560 2.8400 2.8550 -0.0130Feb-23 2.8100 2.8100 2.8100 2.8100 -0.0120Mar-23 2.6470 2.6550 2.6470 2.6520 -0.0130Apr-23 2.3700 2.3730 2.3560 2.3650 -0.0190May-23 2.3500 2.3500 2.3380 2.3380 -0.0190Jun-23 2.3900 2.3900 2.3750 2.3750 -0.0210Jul-23 2.4230 2.4230 2.4170 2.4170 -0.0220Aug-23 2.4400 2.4400 2.4310 2.4310 -0.0210Sep-23 2.4140 2.4140 2.4140 2.4140 -0.0210Oct-23 2.4550 2.4550 2.4480 2.4480 -0.0200Nov-23 2.5400 2.5400 2.5330 2.5330 -0.0200Dec-23 2.7500 2.7500 2.7440 2.7440 -0.0190Jan-24 2.8570 2.8570 2.8570 2.8570 -0.0190Feb-24 2.8200 2.8200 2.8200 2.8200 -0.0180Mar-24 2.6750 2.6750 2.6750 2.6750 -0.0180Apr-24 2.3980 2.3980 2.3980 2.3980 -0.0130May-24 2.3840 2.3840 2.3710 2.3710 -0.0130

Source: CME Group, Inc. Updates provided by CSI.

Full CME Natural Gas Futures settlements out 12+ years are available here.

HENRY HUB FUTURES PRICES

…cont' pg. 6

been overwhelmingly bullish expectations, according to the firm. With net longs contracting 45% in six weeks, there could well be more upside potential later in the 2021 injection season, but “sentiment may remain weak in the immediate term.”

Strong Export DemandLiquefied natural gas (LNG) demand remains elevated, however.

NGI data showed feed gas deliveries to U.S. terminals holding near 11.7 Bcf on Monday, not far off where it was a week ago.

EBW and other analysts expect LNG demand to generally con-tinue being strong throughout the coming months, with the exception of spring maintenance and potential weather issues. The biggest driver of the strength is the huge storage deficit in Europe.

Total working gas in storage in the European Union stood April 3 at 1,114.79 TWh, which is around 256 TWh below year-ago levels and about 38 TWh below the five-year average, according to NGI and Gas Infrastructure Europe.

European markets were closed for Easter Monday, but colder weather late last week along with strong natural gas demand being created by the need to replenish depleted storage stocks pushed prices higher. The Dutch Title Transfer Facility finished at $6.620/MMBtu and the UK’s National Balancing Point settled at $6.531 ahead of the Good Friday holiday.

[Know More: View NGI’s U.S. LNG Export Tracker.]Exports to Mexico also are expected to remain strong in the

months ahead. Energy Aspects analysts forecast U.S. exports to Mexico to range between 6.4 and 6.6 Bcf/d during peak summer. This is because they continue to expect demand for gas to rebound as nationwide lockdown measures to prevent the spread of Covid-19 ease. The firm pointed out that lockdown restrictions have now been lifted in Mexico’s largest gas-consuming regions, supporting imports.

“The states of Veracruz and Tamaulipas — which account for 32%, or around 3.3 Bcf/d, of demand on Sistrangas — have lifted all lockdown measures from March 29, with all normal activities allowed and schools reopening,” Energy Aspects said. “Mexican domestic gas production also continues to underperform, further supporting the need for pipeline imports to backfill demand.”

The analysts forecast cross-border flows this summer to aver-age 6.3 Bcf/d (up 0.8 Bcf/d year/year). This is 0.1 Bcf/d lower than their projection last month following consecutive Energy Information Administration (EIA) data that showed flows much lower than had been indicated by daily data.

“We have previously highlighted this and pegged the discrep-ancy at 0.2-0.3 Bcf/d, but EIA pipeline exports to Mexico undercut daily flow data by as much as 0.5 bcf/d in November-December 2020,” Energy Aspects said.

Meanwhile, summer weather should begin heating up, and the need to replenish storage inventories could bode well for the market in the next couple of months.

A preliminary forecast issued by WeatherBell Analytics LLC in March indicated that most of North America is in store for above-normal temperatures this summer. The warmest weather is seen concentrated in the Southwest and Texas.

Meanwhile, the latest EIA data showed that U.S. stocks as of March 26 were at 1,764 Bcf, which is 225 Bcf below year-ago levels and 36 Bcf below the five-year average.

Analysts at The Schork Group pointed out that this winter’s delivery was 2.208 Tcf, which is 7% above the five-year mean, 15% above the seasonally adjusted time series and 26% above last year’s

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM 5

1) Transport rates for U.S. interstates, SISTRANGAS, and other Mexico pipelines taken from electronic bulletin boards (EBBs). However, Texas intrastate pipelines do not have EBBs, so our transportation costs for these are an estimates. For more information on which charges we include in these fees, please see the below note.2) Calculated Monterrey price would be the same as Los Ramones, and calculated El Encino would be the same as Torreon, if we had used the SISTRANGAS tariff, since SISTRANGAS is a zone based system.3) U.S. gas is not likely to be delivered to Cactus or Salina Cruz, but these represent a theoretical delivered price in Zonas Sur and Istmo.

The current assessments are estimated US-to-Mexico natural gas cost plus transport prices; please refer to the Mexico Gas Price Index Methodology for pipeline-specific costs and for any additional information.

Moving forward, NGI believes the best price transparency are price indexes based on actual transactions, and is asking all buyers and sellers of natural gas in Mexico to support this effort by providing those transactions to NGI on a confidential basis. NGI was at the forefront of this market price deregulation in the United States in the 1980s and has the experience to help the Mexico market do the same in 2020 and beyond. For more information, please contact Dexter Steis or Pat Rau at +1 (703) 318-8848 or prices@naturalgasintel.com.

Want NGI's Mexico Natural Gas Price Index in a spreadsheet? Download a sample in Excel-friendly format.

Want more on Mexico? Start a trial to NGI's Mexico Gas Price Index and get a comprehensive picture of daily news, prices, and analytics that impact this growing marketplace. Request your trial.

ngidata@naturalgasintel.com

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM6

calculates the chance of coming in above the EIA’s 3.662 Bcf forecast outlined in the most recent Short-Term Energy Outlook as 58%, and the chance of coming in above the five-year average as 55%.

“As far as this week goes for May gas, a drop below $2.541 alerts to weakness towards our $2.459 second support point. Below here, we look for support at our $2.379 third level of support,” The Schork Group said. “Then again, strength above $2.715 opens the door to our $2.807 second level of resistance. Through here, we will look for resistance to hold at $2.901.”

Struggling CashWith upper high pressure ruling vast stretches of

the country, spot gas prices cratered on Monday.NatGasWeather said there would be locally “cool”

areas this week as weather systems impact …cont' pg. 7

Effective April 15th, 2021, access to this content will be restricted to LNG Insight subscribers. Click here to learn more about LNG Insight.

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM 7

chairman, president and CEO of Dominion from 2007-2020. He had joined the Richmond, VA-based company in 1995 as general counsel after serving in private practice for 15 years.

Farrell was tapped as president and COO of …cont' pg. 9

Source: Tallgrass Energy LP, NGI calculations. For more info and daily 10am ET updates of this chart, go to natgasintel.com/rextracker.

the Northwest and Northeast. However, with highs forecast to be in the upper 50s to lower 70s over the Midwest/Great Lakes, and in the 70s and 80s over the central and southern United States, “there just won’t be enough coverage of hot or cold conditions to matter.”

A weather system is expected to track into the Plains on Tuesday, then across the Great Lakes Wednesday and Thursday. But, tempera-tures are forecast to reach the 50s and 60s, “far from cold enough to drive any meaningful demand,” according to NatGasWeather.

“Additional weather systems will follow next weekend into the following week, although they’ve trended milder and will arrive with little subfreezing air,” the forecaster said.

East Coast markets recorded the steepest losses on Monday.In Appalachia, Texas Eastern M-3, Delivery next-day gas

plunged 34.5 cents to $1.775. Farther downstream, Transco Zone 6 non-NY was down 33.0 cents to $1.770.

Dominion Energy Cove Point spot gas fell 34.0 cents to $2.140, and Henry Hub dropped a much less pronounced 10.5 cents to $2.365.

Chicago Citygate cash was down 17.5 cents from last Thurs-day to average $2.225, while Texas pricing hubs slipped less than 10.0 cents at the majority of points.Western markets were down as much as 21.5 cents at Northwest Sumas, which averaged $2.225 for Tuesday’s gas day.

NEWSDominion’s Long-Time Chief Tom Farrell Dies

Dominion Energy Inc. Executive Chairman Thomas F. Farrell II, 66, died on Friday after battling cancer.

Tom, as he was known to family, friends and employees, was

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM8

NatGasIntel.com/MX-Price

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM 9

Dominion in 2004. In 2006, he became CEO, and one year later, the board elected him chairman.

Farrell had served as executive chairman until last Thursday, when he retired.

“Tom was a peerless mentor and outstanding leader who sought to find innovative solutions to challenges at Dominion Energy, in the utility industry and in the community he called home,” said CEO Robert M. Blue, who joined Dominion in 2005. “In his tenure at the company, Tom oversaw an era of prosperity and growth, and a long-term transformation that will have a lasting impact on clean energy development and on the health of the environment.

“Above all else, he loved spending time with his wife, his sons and their spouses, and his grandchildren. We will miss him greatly, and extend our deepest condolences to his loving family.”

Farrell “shaped the board in his image — strong and able with a keen eye on ethical behavior, diversity and inclusion, public and community service and innovation,” said lead director Robert H.

Spilman Jr., who was elected to the board in 2009. “The Common-wealth of Virginia has lost a kind soul who was abundantly generous to nonprofits supporting the arts and culture, education and critical community needs.”

As Dominion turned its focus to domestic operations in 1999, Farrell and then-CEO Thomas N. Capps worked to revamp the com-pany. After divesting foreign assets, Dominion acquired Consolidated Natural Gas Co. in 2000. The combined company created the largest U.S. integrated U.S. and electric power company, which today serves about seven million utility customer accounts in eight states.

Since taking over in 2006, Farrell led Dominion’s transformation from relying only on natural gas, coal and nuclear generation. Far-rell was a dealmaker, and he frequently was in the middle of buying and selling assets as strategies or the mood of the country changed.

Last year Farrell directed a $9.7 billion sale to Berkshire Ha-thaway Inc. of Dominion’s natural gas transmission and storage as-sets, including the Cove Point liquefied natural gas export terminal.

Dominion at the time also canceled, along with joint-venture partner Duke Energy, the beleaguered 600-mile, 1.5 Bcf/d Atlantic Coast Pipeline.

Despite his illness, Farrell was on the fourth quarter conference call in February, where he detailed plans to invest $17 billion in zero-carbon generation and energy storage, includ-ing regulated offshore wind, solar and nuclear relicensing.

Another $6 billion was ear-marked, Farrell said, for electric grid enhancements to ensure the system was more resilient to “cyber and climate threats and more responsive to increas-ing intermittent generation.” Another $3 billion is budgeted to upgrade the local distribution companies and for renewable natural gas projects.

“Our initiatives extend well be-yond our five-year plan,” Farrell said two months ago. “We have identified over $70 billion of green investment opportunity between 2020 and 2035, nearly all of which will qualify for regulated cost of service recovery.”

Blue and Spilman noted that Far-rell was proud of the company’s safety accomplishments. The company’s Oc-cupational Safety and Health Admin-istration recordable injury rate, which is the number of reported injuries per 100 employees over a year, fell 78% between 2006 and 2020.

Farrell also helped shape an initia-tive called Troops to Energy Jobs. “To-day, one in five new hires at Dominion Energy served in the Armed Forces, and they make up about 15% of the company’s workforce.”

Dominion during …cont' pg. 10

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM10

They noted that this reflects nearly 10% upside to the recent U.S. composite barrel NGL strip price average for 2021-22 of just over $0.60/gallon ($25/bbl).

Noting strong demand for U.S. exports, Raymond James in March forecasted natural gas prices would average $3.10/MMBtu in 2021. Henry Hub futures have recently hovered just above $2.60.

NGLs are used as fuels as well as feedstocks for petrochemicals used to manufacture plastics and resins. End products include medi-cal equipment and cleaning supplies in demand during …cont' pg. 11

Farrell’s tenure sold off the company’s exploration and production assets, along with interstate natural pipeline, storage and merchant generation businesses. However, operating earnings increased over the period to $3 billion from $1.8 billion, while market capitalization climbed 175%, the company noted.

“Meanwhile, Dominion Energy has built the third-largest solar portfolio among U.S. utility holding companies, according to S&P Global, and cut emissions of carbon dioxide in half and methane by a quarter, and slashed emissions of nitrogen oxides, sulfur dioxide and mercury by well more than 80%.”

“Spending with diverse suppliers” also more than doubled during Farrell’s tenure.

Farrell chaired the board of the Edison Electric Institute and the Institute of Nuclear Power Operations. He also was chairman of Altria Group Inc., and served on the AEGIS board.

Among his many community endeavors, Farrell, a devout Catholic, chaired the Colonial Williamsburg Foundation’s board and was on the Board of Visitors at the University of Virginia, where he was rector, and Virginia Commonwealth University.

Farrell also was a member of the board of the Virginia Museum of Fine Arts. In addition, he served on the Council on Foreign Re-lations independent task force that produced the June 2008 report, “Confronting Climate Change: A Strategy for U.S. Foreign Policy.”

Politics also were part of his realm, as he led the Virginia Governor’s Commission on Higher Education Reform and served as co-chair of the governor’s five-member transition committee. Farrell also was a member of the Governor of Virginia’s Advisory Council on Revenue Estimates; chair of the Virginia Business Council and of the Management Roundtable; and a board member of the Greater Washington Partnership, the Northern Virginia Technology Council and the State Council of Higher Education for Virginia.

“We are just incredibly heartbroken,” said brother-in-law Rich-ard Cullen. “It’s just a tremendous loss, not only to the family, but really to the state of Virginia and beyond.” Farrell “lived to make things better.”

Farrell, whose father was in the U.S. military, was born in Oki-nawa and grew up in Fairfax County, VA. He received bachelor’s and law degrees from the University of Virginia. Farrell is survived by his wife, Anne Garland Tullidge Farrell; two sons and their spouses, and grandchildren.

ANALYSISU.S. Electric Utility Spending Climbing on Transmission Investments, Says EIA

Major U.S. electric utilities spending increased to $40 billion in 2019 from $9.1 billion in 2000, according to federal officials.

U.S. Energy Information Agency (EIA) show the increased spending resulted from investments in transmission infrastructure, as well as operating and maintaining existing systems.

In 2019, $23.5 billion was spent on new transmission, up 1% over the previous year. According to the EIA, utilities spent $16.6 billion on transmission operation and maintenance in 2019, 7% more

than in 2018. Most of the new transmission spending in 2019 consisted of

investments in station equipment, poles and overhead power lines. Those investments aimed to replace aging infrastructure and improve grid reliability during extreme weather events. The new transmission also was designed to reduce congestion and connect to renewable resources.

The Midcontinent Independent System Operator (MISO), cov-ering most of the Midwest and some of the Gulf Coast, energized at least $3 billion worth of transmission infrastructure in 2019. Last year, MISO energized at least $2 billion worth of transmission in-frastructure, EIA noted.

Minnesota Power last year energized the 224-mile, 500 kV Great Northern Transmission line to connect Minnesota to hydro-power plants in Canada. California’s Pacific Gas & Electric Co. and Southern California Edison each spent more than $1 billion in 2019 on new transmission infrastructure primarily related to wildfire mitigation measures.

Meanwhile, in New Jersey, Public Service and Gas invested more than $1 billion in transmission infrastructure in 2019 after en-tering the second phase of its post-Superstorm Sandy Energy Strong program to improve the transmission system’s reliability throughout extreme weather.

While FERC found that spending is plateauing, it still rose 3% in 2019 year/year.

According to the EIA, the Federal Energy Regulatory Commis-sion proposed a revision in its electric transmission incentive policy to stimulate developing infrastructure to support the nation’s evolving renewable generation resource mix, technological innovation, and shifts in load patterns.

…from ANALYSIS - With Strong Demand and Choppy Supply, pg., 1

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM 11

the pandemic.NGL prices have historically been linked to crude oil for

most products, including butane and propane, and Henry Hub for ethane. The Raymond James analysts noted that, while domestic oil production has risen this year, it has only crept ahead, with a major interruption during the Artic freeze in February that temporarily de-railed the Texas energy sector. Output is not expected to accelerate substantially until at least later this year. Demand for NGLs derived from oil, meanwhile, is holding strong, the analysts said.

The U.S. produced about 11 million b/d of crude oil over the past month, according to U.S. Energy Information Administration data. NGL production swings by about 250,000 b/d for each 1 mil-lion b/d change in oil production, the Raymond James analysts said.

Domestic crude production averaged 11.1 million b/d last week, up 100,000 b/d from the prior week and up from the 2021 average to date of about 10.8 million b/d, according to EIA’s latest Weekly Petroleum Status Report. However, supply remains far below the 13.0 million b/d level from a year earlier.

The Organization of the Petroleum Exporting Countries and its allies, aka OPEC-plus, last week agreed to boost crude production in anticipation of increased demand this year. The cartel said it would raise output by 350,000 b/d in May and June, and then increase to as much as 450,000 b/d in July. Saudi Arabia also would begin to unwind cuts it made earlier this year. OPEC has estimated a year/year increase in global oil consumption of 5.6 million b/d in 2021.

Production, however, would still be relatively low. Analysts at BMO Capital Markets estimated the changes represent an increase in OPEC-plus production to 38 million b/d in July from about 35.5 million b/d in March, “largely due to the unwinding of Saudi Arabia’s extra voluntary cut of 1 million b/d.” Prior to the pandemic, the ana-lysts said, the cartel and its allies produced about 41.3 million b/d.

[On March 1, 2021, NGI added three new points to its Forward Look data service, including an Agua Dulce point. Interested in adding affordable, robust natural gas forward curves to your busi-ness resources? Start a trial here.]

Pre-pandemic, the United States accounted for roughly 15% of global crude oil supply but about 40% of global NGL supply, so continued low domestic oil output could disproportionately tighten

infrastructure and the economy.“Any federal infrastructure package that envisions a clean en-

ergy future must be explicit about the foundational role that natural gas infrastructure will continue to play in enabling emissions reductions while ensuring reliable and affordable energy for all Americans,” said a spokesperson for the Interstate Natural Gas Association of America (INGAA). “Natural gas infrastructure is built without using taxpayer dollars, and the Biden administration and Congress should acknowledge the importance of promoting continued investment in modernizing and expanding this infrastructure.

“There are tremendous opportunities to continue putting natural gas to work in achieving national and global climate and economic goals.”

The spokesperson told NGI that, “Proposals in the American Jobs Plan to stimulate the growth of renewable energy investments and low-carbon fuels pair well with our members efforts to comple-ment the growth of renewables and pursue opportunities to transport even lower carbon solutions, such as renewable natural gas, hydrogen, and captured CO2. We look forward to working with policymakers to ensure that infrastructure legislation and federal permitting practices enable these opportunities and do not lose sight of the importance of natural gas infrastructure.”

The comments echoed those of the American Petroleum Institute and Texas Independent Producers & Royalty Owners Association (TIPRO).

“While ambitious and aimed in the right direction — bolstering America’s infrastructure – President Biden’s American Jobs Plan overlooks the backbone of America’s energy system: pipelines,” said TIPRO President Ed Longanecker. “Pipelines are the most reliable and efficient means to transport the oil and natural gas that powers families across America.

“Placing a high tax burden on the oil and gas industry, including pipelines, hinders Texas producers’ ability to deliver the energy the country needs.”

The National Electrical Contrac-tors Association (NECA) called the plan “the first step of many in mov-ing legislation forward that will help rebuild and modernize our nation’s infrastructure.”

NECA said it “looks forward to working with the Administration and Congress to enact a sweeping infra-structure plan that will rebuild and invest in the future of electric vehicles, modernize our nation’s electrical grid, expand broadband networks, and better our roads, bridges, waterways, existing buildings, as well as our

…from REGULATORY - Mixed Reaction from Natural Gas, pg., 1

the global NGL market, supporting prices.NGL prices through 2021-22 “should experience a general

upward trajectory,” the Raymond James team said. “Overall NGL demand remains relatively ‘sticky,’ and supply expectations are fairly muted.”

…cont' pg. 12

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM12

clean water and wastewater infrastructure.”

Partisan Battle LoomsThe plan’s ambitious clean energy targets and proposed corpo-

rate tax rate hikes mean the bill also appears headed for a party-line vote and possible modifications to appease more fossil fuel-friendly centrist Democrats such as Sen. Joe Manchin of West Virginia, ac-cording to analysts.

In a note to clients on Wednesday, Raymond James & Associ-ates Inc. analysts estimated that $628 billion, or about one-third of the package’s headline price tag of $2 trillion, pertained to climate related or “green” aspects.

“That said, it would be erroneous to look at this as an energy bill, vis-a-vis the spending side or the revenue raising side,” said the Raymond James team led by Pavel Molchanov. “In particular, we would highlight the absence of anything resembling a carbon tax among the revenue raisers,” they added.

Components of the bill with energy implications include $174 billion designated for the electric vehicle (EV) value chain, $100 billion for shoring up the power grid, and doubling federal transit funding to $85 billion.

Among the more controversial details is an energy efficiency and clean electricity standard targeting 100% zero-emissions elec-tricity by 2035.

“We see two likely hurdles here,” said the Raymond James team. “First, because this is a regulatory mandate – rather than a spending provision – it must be excluded by the Senate parliamentarian from reconciliation, much like the minimum wage hike was excluded from the recent stimulus package.

“Second, we are skeptical that Democratic moderates, most notably Sen. Manchin, would back a provision that would essentially mandate the phase-out of fossil fuels from the electricity mix.”

Analysts at ClearView Energy Partners LLC tagged the plan’s energy-relevant spending at around $584 billion, exclusive of labor provisions.

They estimated several key elements of the proposal as having potential to destroy more than 1 million b/d of U.S. liquid hydrocar-bons demand and to reduce U.S. greenhouse gas (GHG) emissions by around 162 million metric tons/year (mmty). “The long-term impacts of the proposal could be considerably greater, however,” the ClearView team said.

They highlighted that the clean electricity standard, and

expanded green energy tax credits and electric vehicle (EV) incen-tives, would be paid for largely by increasing corporate tax rates, modifying international taxation for multinationals, and rescinding existing fossil energy tax provisions.

As a result, the ClearView analysts said they expect Democrats will need to resort to the filibuster-proof budget reconciliation process in order to pass the bill along party lines, as they did with Biden’s American Rescue Plan stabilization package.

“Despite likely intra-party skirmishing, we regard the passage of Rescue as having set a meaningful precedent and many of today’s proposals appear derived from bills that Congressional leaders have themselves already supported or proposed,” the ClearView team said.

…from LIQUEFIED NATURAL GAS - KKR Eyes Infrastructure Growth, pg., 1

decade, we expect the energy markets in North America to continue to grow and become increasingly integrated,” Sempra CEO Jeffrey Martin said Monday. “Combining our resources with KKR improves our ability to capture new investment opportunities in cleaner forms of energy and the critical infrastructure that stores and transports it. This transaction also sends a clear signal about the value and expected growth of our infrastructure portfolio.”

Meanwhile, KKR head of global infrastructure Raj Agrawal said the business unit provides a “strong foundation” to expand natural gas and renewables across North America.

San Diego-based Sempra said the deal values the infrastructure subsidiary at about $25.2 billion including debt of $8.37 billion. Closing is expected by mid-year.

Sempra Infrastructure Partners was formed in December. It com-bined the LNG unit with its Infraestructura Energética Nova (IEnova) subsidiary in Mexico. At the time, Sempra said it was looking to sell a minority stake in the business.

The infrastructure unit owns a 45 million metric tons/year LNG portfolio, which includes the operational 15 mmty Cameron LNG facility in Louisiana, which may be expanded. It is also developing the proposed 13.5 mmty Port Arthur LNG terminal southeast of Houston in partnership with an affiliate of Saudi Arabian Oil Co., aka Saudi Aramco, which may be sanctioned this year.

In Mexico, it is developing the Energia Costa Azul (ECA) export project in Baja California, which was the only LNG development in North America to be sanctioned last year. The first phase, with capac-ity of 2.5 mmty, is expected to come online in 2024.

The partnership also owns gas infrastructure, including pipe-lines to send U.S. feed gas to ECA, and a Mexican renewable energy portfolio of about 4 GW.

Sempra said proceeds from the sale would be used to “help fund growth” across its $32 billion capital program, which is focused on its U.S. utilities, and to “further strengthen” its balance sheet. The company said last month that it would target nearly 90% of capital investments this year in its three major utilities operating in California and Texas.

KKR would make the investment through its infrastructure fund, which currently holds $27 billion in assets. The firm’s recent investments include the Coastal GasLink pipeline project to supply LNG Canada in British Columbia with feed gas. Past investments also include Williams’ Rocky Mountain Midstream system and privately held Permian player Spur Energy Partners LLC.

When Sempra formed the partnership in December, …cont' pg. 13

NGI’s Daily Gas Price Index Tuesday, April 6, 2021

NATGASINTEL.COM | @NGINEWS | © COPYRIGHT INTELLIGENCE PRESS 2021 | FOR A FREE TRIAL VISIT NATGASINTEL.COM 13

Daily Gas Price Index is published daily, each business day by Intelligence Press, Inc. (703) 318-8848.For breaking natural gas and shale news and more detailed pricing data, please visit us at: naturalgasintel.comFor a listing of all our premium newsletters and data services, please visit: naturalgasintel.com/premiumservicesExecutive Publisher: Dexter Steis (dexter.steis@natgasintel.com). Editor-In-Chief: Alex Steis (alex.steis@natgasintel.com). Managing Editor: Carolyn L. Davis (carolyn.davis@natgasintel.com). Analysts/ Price Editors: Patrick Rau, CFA (pat.rau@natgasintel.com), Nathan Harrison (nathan.harrison@natgasintel.com), Josiah Clinedinst (josiah.clinedinst@natgasintel.com). Price & Markets Editor: Leticia Gonzales (leticia.gonzales@natgasintel.com). Senior Editor – LNG: Jamison Cocklin (jamison.cocklin@natgasintel.com). Senior Editor – Mexico and Latin America: Christopher Lenton (christopher.lenton@natgasintel.com). Associate Editor – Markets: Kevin Dobbs (kevin.dobbs@natgasintel.com). Associate Editor: Andrew Baker (andrew.baker@natgasintel.com). Associate Editor – LNG: Caroline Evans (caroline.evans@naturalgasintel.com). Markets Contributor: Jeremiah Shelor (jeremiah.shelor@natgasintel.com). Correspondents: Richard Nemec (rich.nemec@natgasintel.com), Gordon Jaremko (gordon.jaremko@natgasintel.com), Ronald Buchanan (ronald.buchanan@natgasintel.com), Eduardo Prud’homme (eduardo.prudhomme@natgasintel.com), Adam Williams (adam.williams@natgasintel.com). Contact us: EDITORIAL: editorial@natgasintel.com; PRICING: prices@natgasintel.com; SUPPORT/SALES: info@natgasintel.com; ADVERTISE: adv@natgasintel.comIntelligence Press, Inc. © Copyright 2021. Contents may not be reproduced, stored in a retrieval system, accessed by computer, or transmitted by any means without a site license or prior written permission of the publisher. DISCLAIMERS, LIMITATION OF WARRANTY AND LIABILITY: The Information contained in this newsletter (our Content) is intended as a professional reference tool. You are responsible for using professional judgment and for confirming and interpreting the data reported in our Content before using or relying on such information. OUR CONTENT IS PROVIDED "AS IS" AND WE DISCLAIM ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR YOUR PARTICULAR PURPOSE. Although we believe our Content to be complete and accurate as described therein, we make no representations regarding completeness or accuracy. We will not be liable for any damage or loss of any kind arising out of or resulting from access or lack of access to or use of our Content, including but not limited to your reliance on it, errors in the data it contains, and data loss or corruption, regardless of whether such liability is based in tort, contract or otherwise. NGI’s full Subscriber Agreement is available here: naturalgasintel.com/TOS.

Daily Gas Price Index

Tuesday, April 6, 2021Volume 28, No. 186

ISSN 1532-1223 (print)ISSN 1532-1231 (online)

it also disclosed plans to launch a stock-for-stock exchange offer for the remaining shares of IEnova. Sempra anticipated in December it would finish the exchange by the end of March. On Monday, however, Sempra said it was still waiting for government clearance to begin the process.

Under the terms of the offer, Sempra would exchange one common share for an IEnova share at an exchange ratio of 0.0313. Sempra intends to list its exchange shares on Mexican stock exchange Bolsa Mexicana de Valores SAB de CV. The offer has an implied price of 82 Mexican pesos, or $4.08/IEnova share.