Coal-burn in the US power sector is recovering in the second half of 2020, having slumped 30% to 184.8 million short tons (MMst) between January and June. Analysts say coal-burn will not reach last year’s levels as many plants are retiring due to tighter emission standards or converting to natural gas.
Sluggish industrial demand will impact US gas prices at Henry Hub well into the New Year. Baseload industrial gas demand is forecast to only reach pre-pandemic levels in the third quarter of 2021, with US Steel having over half of its tubular production capacity idled as pipeline projects are on hold.