Price is per MMBTU (per million BRITISH thermal units - the MM being a legacy of Roman times when M denoted 1,000. Hence MM is one million or one thousand times one thousand). Look how Natgas futures on NYMEX are doing here. ONE BTU is roughly 1,055 Joules, so 1 MMBTU must be a BILLION JOULES.
Recap question: When is a million equal to one billion? Answer: when converting MMBTU into Joules. 1 MMBTU (million BTUs) is one billion Joules.
Standard contract size for Henry Hub natural gas is 10,000 MMBtu.
We can think of energy also in terms of light. A 100 Watt light bulb consumes 100 Joules/second. in one minute, consume 6,000 Joules, roughly 6 BRITISH THERMAL UNITS.
Recap question: When is a million equal to one billion? Answer: when converting MMBTU into Joules. 1 MMBTU (million BTUs) is one billion Joules.
Standard contract size for Henry Hub natural gas is 10,000 MMBtu.
We can think of energy also in terms of light. A 100 Watt light bulb consumes 100 Joules/second. in one minute, consume 6,000 Joules, roughly 6 BRITISH THERMAL UNITS.
