Plenty of Gas, Not Enough Pipe: New England January Gas Tops $20

The rest of the country is heading into winter swimming in natural gas. Production is at record highs, storage is above average, and Henry Hub January futures are trading below $4. Yet traders are paying more than $20 per MMBtu for gas delivered into parts of New England in January. That's more than five times the national benchmark. The problem isn't a shortage of gas. It's a shortage of pipe. New England sits just a few hundred miles from the Marcellus Shale, one of the most prolific gas fields on the planet, but more than a decade of blocked pipeline projects means it can't get enough of our gas when the weather turns cold.

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