Gaithersburg, Maryland-based Oil Price Information Service (OPIS) introduced a new natural gas price index on October 31, intended to provide “daily and monthly weighted average prices at a multitude of key natural gas trading hubs throughout North America,” the company said.
With the launch of its Natural Gas Price Daily & Bidweek Report, OPIS – a subsidiary of research company IHS – adds natural gas to the growing list of commodities it covers. Until now, OPIS said, it has been “one of the world’s most comprehensive and reliable sources for petroleum pricing and news information.”
Specifically, the new survey-based natural gas price index provides prices for next-day natural gas delivered to 88 trading points throughout the continental United States and Canada. For each point, a weighted average price is calculated in order to establish a ‘midpoint price’. The reports will also include daily price changes, as well as highs and lows, plus a basis value relative to Henry Hub – a natural gas pipeline located in Erath, Louisiana, that serves as the official delivery location for contract son the New York Mercantile Exchange (NYMEX).
“OPIS is committed to providing complete price transparency across the entire oil supply chain. We are pleased to take this step and add natural gas index pricing to our wide array of pricing services,” said CEO Brian Crotty.