BAKU, Azerbaijan, December 26. Henry Hub spot price in the U.S. is expected to hover around $2.80 per million British thermal units (MMBtu) throughout the remaining winter heating season, concluding in March, Trend reports.
Thus, the US Energy Information Administration Agency (EIA) has adjusted its winter natural gas price forecast, now reflecting a reduction of over 60 cents compared to the November forecast.
This downward revision is attributed to the recent surge in natural gas production, leading to decreased prices in November and elevated levels of natural gas storage inventory.
Meanwhile, the Henry Hub spot price clocked in at $2.71/MMBtu in November, marking a 27-cent drop from October. The dip in natural gas prices for November can be attributed to the uptick in U.S. natural gas production during October and November 2023.
Notably, U.S. dry natural gas production hit a record high of around 105 billion cubic feet per day (Bcf/d) in November, surpassing any previous month.
Throughout the first half of 2023, U.S. dry natural gas production averaged almost 103 Bcf/d and has seen increases in most months during the latter half of 2023. The EIA forecast anticipates that dry natural gas production will stay close to 105 Bcf/d for the remainder of the winter.
