EIA sees natural gas price below $4/MMBtu through 2016
Natural gas prices are expected to remain depressed below $3.00/MMBtu in 2015 and below $4.00/MMBtu in 2016 as marketed natural gas production reaches record highs and consumption continues to lag.
The Henry Hub spot price will average $3.05/MMBtu in 2015, $1.34/MMBtu lower than in 2014 and $0.39/MMBtu lower than in last month’s forecast, the U.S. Energy Information Administration said in its latest Short-term Energy Outlook. For 2016, the EIA expects the price to recover to $3.47/MMBtu as consumption improves, also $0.39/MMBtu below last month’s outlook.
