Natural Gas April 12, 2023 07:37:40 AM

EIA Forecasts Record High U.S. Natural Gas Output in 2023

OilMonster Author

As per report, the natural gas inventories are likely to remain above the five-year average in 2023.

EIA Forecasts Record High U.S. Natural Gas Output in 2023

SEATTLE (Oil Monster): According to the latest report published by the U.S. Energy Information Administration (EIA), the U.S. natural gas production is predicted to hit a new record high during the current year.

FERC: U.S. Natural Gas Demand Exceeded Supply in 2022

In accordance with the figures cited in the EIA’s April Short Term Energy Outlook (STEO) report, the country’s dry gas production is expected to increase to touch new height of 100.87 billion cubic feet per day (bcfd) in 2023, which will further increase to 101.58 bcfd in 2024. It must be noted that the dry gas production had hit a record of 98.11 bcfd during the previous year.

As per report, the natural gas inventories are likely to remain above the five-year average in 2023. As a result, the natural gas prices are expected to average less than $3 per million British thermal units (MMBtu) during the current year. This is significantly down by more than 50% when compared with the year before.

The natural gas spot price at Henry Hub had averaged at modestly higher level of $5.45 per MMBtu in November last year. Furthermore, it has recorded notable decline to average at $2.31 per MMBtu in March 2023, said the report.

The total non-OPEC liquid fuels production is expected to grow by 1.9 million barrels per day (bpd) in 2023. On the contrary, OPEC output will fall by 500,000 bpd in 2023.