Record US gas output, sub-$3.50 Henry Hub underpin LNG exports
Record US natural gas production and sustained sub-$3.50/MMBtu Henry Hub prices are set to strengthen the economics of both LNG export expansions and new gas-fired power projects and, even as global demand tightens.
US forecasts natural gas output to fall before rising in 2025 due to LNG demand though not return to 2023 record
US Natural gas production is forecast to decline during the coming year and will only increase in 2025, driven by expected higher associated gas output in the Permian Basin of West Texas due to growth in LNG export demand.
US energy outlook forecasts lower Henry Hub price to the end of March on higher production and storage levels
The United States energy outlook for December has forecast lower benchmark Henry Hub natural gas spot prices for the rest of the winter heating season to March 2024 because of higher production and storage levels.
Henry Hub seen rebound to $3.08 in 2019
Dry gas production in the U.S. is about to reach a record of 81 Bcf per day, spurring LNG exports and pushing down prices. Henry Hub is seen average $2.99/MMBtu for the full year 2018, but notch up to $3.08/MMBtu in 2019.
