Henry Hub Price is Crashing – When Will it Go Higher Again?

Yesterday the NYMEX Henry Hub price for natural gas dropped 27.5 cents from the previous day to close at $3.31/MMBtu. It is the lowest settlement price in 19 months, since June 22, 2021. The reason for the crash in price is low demand. Digging further, there is low demand because (1) the weather is warm this winter (so far, anyway), and (2) some 2 Bcf/d of demand is still gone because the Freeport LNG export facility remains offline. The question is, when will demand, and the price, go higher again? And how much higher will it go this year and next? The U.S. Energy Information Administration weighs in on those questions.

---

To view this content, log into your member account. (Not a member? Join Today!)