Finance
Equinor sold about 30% of its US gas on spot market during January price spike
Published by Global Banking and Finance Review
Posted on February 4, 2026
2 min readLast updated: February 4, 2026
Quick Summary
Equinor capitalized on January's cold snap by selling 30% of its US gas on the spot market, achieving prices over $100 per MMBtu.
Equinor Capitalizes on January Gas Price Surge with 30% Spot Sales
Equinor's Gas Sales Strategy
By Nora Buli
Impact of January Weather on Demand
OSLO, Feb 4 (Reuters) - Norway's Equinor sold around 30% of volumes from its U.S. onshore natural gas assets on a spot basis in January, capitalising on a cold snap that sharply lifted demand and prices, its chief financial officer said on Wednesday.
Production Costs and Pricing Dynamics
An Arctic blast sent U.S. heating demand soaring in January and froze oil and gas wells, cutting gas output to a two-year low and pushing some northeast gas hub prices to record highs.
Future Production Projections
Equinor owns stakes in onshore gas production in the U.S., with the Marcellus position in the Appalachian Basin on the U.S. northeast coast its largest natural gas asset outside Norway.
While the field is operated by a partner, Equinor takes delivery of its share of the gas and transports and markets the volumes itself, CFO Torgrim Reitan told Reuters following the company's fourth-quarter earnings presentation.
The trading business usually leaves some volumes exposed to volatility by selling them on the spot market, he said.
"That was also the case during January. We held around 30% of our exposure to cash prices or spot prices," Reitan said.
This meant that when Equinor sold some of its gas towards the New York region it achieved prices of "more than $100 per MMBtu (million British thermal units)", he said.
Equinor's marginal cost of U.S. production was $1 per MMBtu, Reitan said.
Prices have since fallen, with the benchmark Henry Hub month-ahead contract trading at $3.33 per MMBtu on February 4, after peaking at $7.46 per MMBtu on January 28.
In 2025, Equinor's U.S. natural gas production rose by 27% to 809 million barrels of oil equivalent per day.
The increase was mainly due to higher Appalachia output following the acquisition of additional interests in late 2024 and increased operational activity throughout 2025, Equinor said in its earnings report.
(Reporting by Nora Buli. Editing by Terje Solsvik and Mark Potter)
Key Takeaways
- •Equinor sold 30% of its US gas on the spot market in January.
- •Cold weather increased demand and prices for natural gas.
- •Equinor's production costs were $1 per MMBtu.
- •Spot market sales achieved prices over $100 per MMBtu.
- •US natural gas production rose by 27% in 2025.
Frequently Asked Questions about Equinor sold about 30% of its US gas on spot market during January price spike
1What is natural gas?
Natural gas is a fossil fuel composed mainly of methane, used as an energy source for heating, electricity generation, and as a fuel for vehicles.
2What is a spot market?
A spot market is a public financial market in which financial instruments or commodities are traded for immediate delivery.
3What are production costs?
Production costs refer to the expenses incurred in the process of manufacturing goods or providing services, including materials, labor, and overhead.
4What is a cold snap?
A cold snap is a sudden and brief period of cold weather, often leading to increased demand for heating and energy.
5What is cash price?
Cash price refers to the current market price at which a commodity can be bought or sold for immediate delivery.
