U.S. natural gas futures rose over 1% on Monday on forecasts for cooler weather and higher heating demand over the next two weeks than previously expected.

Traders noted that while temperatures may be lower, they were expected to remain around near-normal levels through late April and liquefied natural gas (LNG) exports were expected to decline this month for routine plant and pipeline maintenance.

Traders also said mild weather last week likely caused utilities to boost injections into storage by so much that the total amount of gas in inventory likely rose above the five-year (2016-2020) average for the first time since the February freeze.

Front-month gas futures rose 3.1 cents, or 1.2%, to $2.557 per million British thermal units at 9:39 a.m. EDT (1339 GMT), putting the contract on track to close at its highest since April 1 for a second day in a row.

It also puts the contract on track to rise for a fourth day in a row for the first time since January.

With ample supplies in storage reducing concerns prices will spike anytime soon, speculators cut their net long positions on the New York Mercantile (NYMEX) and Intercontinental Exchanges for a seventh time in a row last week to their lowest since July 2020. That was the longest streak of decreases since July 2019.

Data provider Refinitiv said output in the Lower 48 U.S. states has averaged 91.8 billion cubic feet per day (bcfd) so far in April, up from 91.6 bcfd in March but still well below the record monthly high of 95.4 bcfd in November 2019.

Refinitiv projected average gas demand, including exports, would rise from 91.7 bcfd this week to 92.1 bcfd next week as the weather cools. Those demand forecasts were higher than Refinitiv projected on Friday.

The amount of gas flowing to U.S. LNG export plants, meanwhile, averaged 11.0 bcfd so far in April, which would top March's monthly record of 10.8 bcfd.

Analysts, however, said they do not expect LNG feedgas to break March's record in April because flows are expected to decline later this month due to planned work on a couple of facilities and the pipelines serving them, including Cheniere Energy Inc's Corpus Christi in Texas and Cameron LNG's plant in Louisiana. 

(Reporting by Scott DiSavino; Editing by Steve Orlofsky ) ((scott.disavino@thomsonreuters.com; +1 332 219 1922; Reuters Messaging: scott.disavino.thomsonreuters.com@reuters.net))