New Fortress Energy Inc. (NFE) shares are experiencing a decline in after-hours trading, potentially influenced by recent legislative developments in New York. Environmental advocates are pushing for the passage of the Renewable Heat Now package, which includes a bill aimed at curbing the expansion of natural gas infrastructure. This legislative push has sparked opposition from various business groups, who argue that such measures could negatively impact businesses reliant on natural gas. The heightened debate around these bills may be contributing to investor concerns about the future demand for natural gas, affecting companies like New Fortress Energy that are involved in the sector.
Additionally, the natural gas market has seen significant price fluctuations, with the Henry Hub spot price rising to $3.11 per million British thermal units (MMBtu) as of December 11, 2024. While this increase in natural gas prices might typically benefit energy companies, the potential regulatory changes in New York could overshadow these gains, leading to uncertainty in the market.
NFE's stock fell 2.51% to $12.80 in after-hours trading, following a 0.91% decline to close at $13.13 on December 12, 2024.