Commodities

Texas Natural Gas Prices Plummet After Pipeline Fire

  • Intraday cash prices at Waha fall to about -$3 per million Btu
  • Kinder Morgan shut a pipeline segment, trapping gas in region

A gas flare near Mentone, Texas.

Photographer: Bronte Wittpenn/Bloomberg
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Natural gas prices in West Texas under pressure from a glut in supply sank even further into negative territory after a segment of a pipeline system was shut following a fire, threatening to trap gas in the region.

Intraday cash prices at the Waha hub in the Permian Basin fell to around -$3 per million British thermal units from around -50 cents earlier in the day, according to traders. This comes after Kinder Morgan Inc. shutBloomberg Terminal a part of its Natural Gas Pipeline of America system due to a natural gas release and fire.