Spot Gas Prices Plunged in First Half
Thursday, August 09, 2012
Average spot natural gas prices in key regional markets, which reflect the wholesale price of natural gas at major trading points, declined about 38% to 49% during the six months of 2012 compared to the same period in 2011, the U.S. Energy Information Administration (EIA).
Spot prices at the benchmark Henry Hub in Louisiana, U.S.A., where a number of gas pipelines intersect, averaged US$2.36 MMBtu during the first half.
EIA said rising production, record end-of-winter storage inventories, and mild weather contributed to spot natural gas prices nearing their lowest levels in a decade.
The agency said prices rebounded somewhat at most trading points to the high $2/MMBtu range by the end of June.
For more information: www.eia.gov