Management’s Discussion and Analysis
Saskatchewan Prices In contrast to most of the world, Saskatchewan’s natural gas prices were characterized by lower volatility and prices through the first quarter of 2024-25. The AECO daily index averaged $1.11 per GJ through the quarter, compared to $2.34 per GJ the prior year, with the decline primarily a function of increased production, cooler temperatures, and relatively full storage levels. Traditionally, most natural gas in Saskatchewan is priced at a differential to the AECO price, with this differential for the quarter averaging a premium of $0.04 per GJ compared to $0.05 per GJ the year prior. Despite lower overall prices, the locational differential was nearly unchanged. The following chart shows AECO natural gas prices:
AECO Monthly Index Historical Prices
$8.00
$7.00
2015-Present Average Price $2.54/GJ
Forward Price at June 30, 2024 Average Price: $2.96/GJ
$6.00
$5.00
$4.00
$3.00
$2.00
$1.00
$0.00
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029
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