The Henry Hub natural gas spot price averaged $2.87/MMBtu in February, a decline of $0.12/MMBtu from January, the U.S. EIA said in a report on Tuesday.
EIA expects monthly average spot prices to remain less than $3/MMBtu through May, and less than $4/MMBtu through the remainder of the forecast. The projected Henry Hub natural gas price averages $3.07/MMBtu in 2015 and $3.48/MMBtu in 2016.
Natural gas futures contracts for June 2015 delivery traded during the five-day period ending March 5 averaged $2.83/MMBtu. Current options and futures prices imply that market participants place the lower and upper bounds for the 95% confidence interval for June 2015 contracts at $1.92/MMBtu and $4.18/MMBtu, respectively.
At this time last year, the natural gas futures contract for June 2014 delivery averaged $4.55/MMBtu and the corresponding lower and upper limits of the 95% confidence interval were $3.51/MMBtu and $5.90/MMBtu.