Natural Gas
ABOUT CONTRACT
Henry Hub Natural Gas Futures is the most liquid natural gas contract in the world.
Henry Hub is a gas distribution center located near Erath, Louisiana, USA. It plays a leading role in natural gas pricing. This distribution hub is situated on the cross of 8 largest American gas pipelines. It is the Henry Hub price that serves as a guideline for the spot contracts.
Natural gas prices are calculated in British thermal units (MMBtu).
MMBtu - 1,000,000 Btu
Btu (British thermal unit) - the amount of heat needed to raise the temperature of 1 pound of water (0.4536 kg) by 1 degree Fahrenheit (0.56 °C).
The Henry Hub settlement price equals to the price of natural gas futures traded on the Chicago Mercantile Exchange (CME).
| № | Contract name | Short code | Basic asset | Contract lot | Min tick size | Min tick value |
|---|---|---|---|---|---|---|
| 1. | Cash-settled Natural Gas Futures Contract | NG | Henry Hub Natural gas | 100 MMBtu | 0,001 USD | 0,1 USD |
Contract Settlement Date (example):
| Contract name | Exchange | Код контракта | Month and year of settlement |
Last trade date | Settlement date |
|---|---|---|---|---|---|
| Natural Gas Futures Contract | Moscow Exchange | NG-12.19 | December 2019 | 28.12.2019 | 28.12.2019 |
| The corresponding Henry Hub Natural Gas Futures | NYMEX | NGF20 | December 2019 | 27.12.2019 (Last Trade Date) |
27.12.2019 (Settlement Date) |
Key factors affecting the natural gas price:
- Production and reserves change
- Natural gas demand fluctuations
- The development of alternative energy sources
- Geopolitical factors
- Prices for the other energy sources (oil, coal)
Current futures prices
For basic information about a derivatives contract, please click the contract code in the first column