Canadian producers are temporarily shutting in natural gas wellheads amid a record-low negative pricing at the key Alberta gas hub. The price of natural gas at the AECO Hub, the Canadian benchmark price for natural gas on the Nova Gas Transmission Ltd. (NGTL) system, has been weak all summer and plunged below zero earlier this week. On Thursday, the daily spot price at the AECO averaged minus 5 cents per million British thermal units (MMBtu), per pricing data of LSEG cited by Reuters. Earlier in the week ...

By Amanda Stephenson and Scott DiSavino (Reuters) -Some natural gas producers in Western Canada are aggressively cutting output in an effort to ease an ongoing glut that this week tipped prices for the fuel into record negative territory, companies and analysts said. Daily spot prices at the Alberta Energy Company (AECO) storage hub averaged minus 5 cents per million British thermal units on Thursday, after trading at record low levels of minus 18 cents this week. The benchmark averaged $1.03 per mmBtu s ...

Management Changes - Steve Kinsey, CFO of Flowers Foods, will retire at the end of the year after 26 years with the company, including 18 years as CFO, and will continue in an advisory role post-retirement [2] - James Shen has been appointed as interim CFO of GitLab, having previously served as vice president of finance since January 2021, replacing Brian Robins who resigned to join Snowflake [3] - Alan Shepard, currently president and CFO of CNX Resources, will become CEO effective January 1, while retaining his role as president; he succeeds Nick Deiuliis, who will retire after 35 years [4] - Josh Greear has been named finance chief of Authority Brands, previously serving as CFO of Primrose Schools and holding various financial leadership roles at Cracker Barrel and The Home Depot [5] - Brett Summerer has been appointed CFO of Accel Entertainment, effective September 22, previously serving as CFO of Verano Holdings and holding leadership roles at Kraft Heinz, Corning, and General Motors [6]

Company Overview - Spire Inc. (NYSE: SR) is a natural gas company providing energy services to residential, commercial, and industrial customers [1][6] - The company's market capitalization is approximately $4.66 billion, with a trading volume of 257,645 shares, positioning it as a significant player in the utilities sector [5] Stock Performance - As of September 25, 2025, SR was trading at $79.20, which is approximately -4.03% below the price target of $76 set by David Arcaro from Morgan Stanley [1][6] - Currently, SR is priced at $79.03, reflecting a slight increase of 0.30% for the day, with a trading range of $78.47 to $79.21 [2] - Over the past year, SR has experienced a high of $79.81 and a low of $61.56, indicating some volatility in its price movements [2] Economic Context - Despite a recent federal funds rate cut, there are concerns about potential recession indicators, particularly in the housing and labor markets [3] - However, SR continues to show resilience, with stable performance in the utilities sector amidst economic uncertainty [6] Investment Strategy - Investors are advised to consider shifting towards more defensive equity investments in sectors like utilities, consumer staples, and healthcare due to recession concerns [4][6]

Core Insights - Natural gas prices have shown a slight increase, closing up by 1.61% on October Nymex [1] - The weekly storage report indicated a rise in natural gas inventories, which was in line with market expectations, but cooler weather forecasts are expected to reduce demand [2][6] Production and Demand - US natural gas production is at a near-record high, with the EIA raising its 2025 production forecast by 0.2% to 106.63 billion cubic feet per day (bcf/day) [3] - As of Thursday, US dry gas production was reported at 107.7 bcf/day, reflecting a year-over-year increase of 6.1% [4] - Lower-48 state gas demand was recorded at 73.2 bcf/day, up 0.8% year-over-year [4] Storage and Supply - The EIA reported a weekly increase of 75 billion cubic feet (bcf) in natural gas inventories, slightly above the consensus forecast but below the five-year average [6] - As of September 19, natural gas inventories were up 0.5% year-over-year and 6.1% above the five-year seasonal average, indicating sufficient supply [6] - European gas storage was reported to be 82% full, compared to the five-year average of 89% for this time of year [6] Rig Count and Production Capacity - The number of active US natural gas drilling rigs remained unchanged at 118, slightly below the two-year high of 124 [7] - The rig count has increased from a four-and-a-half-year low of 94 rigs reported in September 2024 [7] Electricity Generation - US electricity output increased by 2.3% year-over-year to 85,663 GWh for the week ending September 20, supporting natural gas prices [5] - Over the past 52 weeks, electricity output rose by 2.85% year-over-year to 4,267,164 GWh [5]

Three liquefied natural gas vessels are waiting outside Egypt’s import terminals as scheduling issues and a faster-than-expected seasonal demand decline in the North African nation reduces need for the fuel https://t.co/zviCqUb3vA ...

Delfin Midstream, the closely held developer of a liquefied natural gas export terminal off the coast of Louisiana, is getting closer to lining up the financing it needs to move forward with the project, sources say https://t.co/xskS6Hm1QP ...

Company Overview - Expand Energy Corporation (EXE) was formed in 2024 through the merger of Chesapeake Energy Corporation and Southwestern Energy Company, becoming the largest natural gas producer in America with a market capitalization of approximately $24 billion [1] Operations - The company is based in Oklahoma and operates across the Haynesville, Marcellus, and Utica Shales, managing around 8,000 wells, with activities including drilling, completion, and production supported by vertically integrated oilfield services [2] Stock Performance - EXE's stock has shown resilience and volatility, declining 16.4% from a 52-week high of $123.35 in June, and 15.9% over the past three months, contrasting with the Nasdaq Composite's 13% gain during the same period [3] - Over a longer horizon, EXE's stock has increased by 28.7% over the past 52 weeks, with a projected growth of 3.6% in 2025, while the Nasdaq has advanced 24.5% over the past year and 16.5% year-to-date [4] Technical Indicators - Technical indicators suggest EXE is regaining stability, having traded above both the 50-day and 200-day moving averages for most of the past year, but slipped below these levels in July; since mid-September, it has bounced back, holding above the 50-day moving average and approaching the 200-day mark [5] Earnings Report - On July 29, Expand Energy reported Q2 2025 earnings, with revenue increasing by 630.7% year-over-year to $3.69 billion, surpassing forecasts, while adjusted EPS rose to $1.10, slightly below the $1.14 consensus [6] - Despite the earnings miss, positive investor sentiment led to a 1.3% stock increase on the day of the release and a further 4.9% the following day, driven by confidence in operational progress [7] Operational Highlights - The company achieved record drilling performance, enhanced free cash flow predictions to $1.6 billion, reduced capital expenditures by $100 million, and set a $600 million cost synergy objective by 2026, indicating strong execution [8] - Shareholder returns reached $585 million in dividends and buybacks during the first half of 2025, alleviating concerns from the earnings gap [8]

Core Insights - The rapid growth of artificial intelligence in America is leading to an unprecedented energy shortage, necessitating a critical choice between different energy sources [1][15] - The lack of infrastructure to support the energy demands of AI is a fundamental crisis threatening America's technological supremacy [2] Energy Demand and Infrastructure - Training a single AI model like GPT-4 requires 30 megawatts of continuous power, enough for 20,000 homes [3] - Data center energy demand is projected to more than double from 35 gigawatts in 2024 to 78 gigawatts by 2030, equivalent to powering California twice [3] - Grid connection delays for new data centers can extend up to five years, significantly hindering AI expansion [4] Regional Challenges - Interconnection requests have surged by 700% in some areas, creating bottlenecks that threaten AI leadership [5] - Northern Virginia's power demand could rise from 4 gigawatts today to 15 gigawatts by 2030, potentially comprising half of Virginia's total electricity load [5] Immediate Solutions: Natural Gas - Tech giants are turning to natural gas for immediate power needs, which can be delivered within 18-24 months compared to five years for grid connections [6] - Major natural gas producers have seen significant stock price increases, with Expand Energy up over 24% and EQT and Range Resources rising more than 40% and 13% respectively [6] Long-Term Solutions: Nuclear Power - Nuclear energy is viewed as a long-term solution, with Amazon investing in small modular reactors (SMRs) and Google planning to build up to seven SMRs [8] - Oracle's plan for a gigawatt-scale data center powered by SMRs represents a significant commitment to nuclear energy [9] Economic and Environmental Considerations - Nuclear plants have capacity factors exceeding 92.5%, significantly higher than wind (35%), solar (25%), and natural gas (56%) [10] - The cost of natural gas plants is around $1 billion, while nuclear plants can cost about $5 billion, with small modular reactors achieving lower levelized costs of electricity [11] Policy and Future Outlook - The Trump administration has promoted data center and energy co-expansion through tax incentives and emergency powers to expedite power plant construction [13] - A managed transition using natural gas as a bridge during nuclear infrastructure development is seen as the most likely scenario for optimal economic and environmental outcomes [14][15] - The race for AI leadership is shifting towards sustainable and efficient energy solutions, with companies that navigate this transition effectively likely to lead in AI [16]

Market Overview - September has shown a surprisingly positive market performance despite initial bearish expectations, with the S&P down only an average of 0.5% [2] - Concerns about market overvaluation primarily focus on the MAG 7 stocks, which constitute 40% of the S&P 500, while small caps are projected to have 35% earnings growth next year at a valuation of 17 times earnings [3][4] Investment Opportunities - Small caps are highlighted as having the lowest multiples and highest earnings growth potential, making them attractive for investment [5][6] - The energy sector is also seen as undervalued, trading at 15.2 times earnings, with significant growth opportunities in natural gas, particularly as data center demand is expected to grow by 165% by 2030 [6][7] Company Insights - Alibaba is planning to increase its AI spending significantly, with projections for global investment in AI reaching $4 trillion over the next five years, positioning it as a leading player in the AI space [10][11] - Intel is viewed as a potential multi-bagger due to its strategic importance in the semiconductor supply chain, especially with the backing from the U.S. government and partnerships with companies like Nvidia [14][15] Consumer Sentiment and Economic Outlook - Despite low consumer sentiment, historical trends suggest that the S&P 500 tends to rise by an average of 24.1% within 12 months after such lows [21] - The housing market, which constitutes 16% of GDP, is expected to recover as interest rates decrease, allowing consumers to access trapped equity and stimulate economic activity [22][23]