EIA: Henry Hub Natural Gas Prices Hit Record Lows in November

(P&GJ) — The Henry Hub daily natural gas spot price fell to an all-time low of $1.21 per million British thermal units (MMBtu) on Nov. 8 and Nov. 11, in inflation-adjusted dollars, according to the U.S. Energy Information Administration (EIA).

Four of the 10 record-low daily prices, when adjusted for inflation, occurred in November 2024, with the remaining six also recorded earlier in the year. The Henry Hub spot price averaged $2.12/MMBtu for November, marking the lowest average price for the month on record, adjusted for inflation.

The EIA attributes the price collapse to strong supply and constrained demand. Mild autumn weather during early November limited natural gas consumption for heating, contributing to lower prices.

U.S. natural gas inventories ended the injection season on Oct. 31 at 3,922 billion cubic feet, the highest level since 2016. With ample storage, flat net natural gas exports, and limited liquefied natural gas (LNG) capacity additions this year, demand remained subdued. Meanwhile, U.S. marketed natural gas production is forecast to average 113 billion cubic feet per day in 2024, largely unchanged from the record high in 2023.

Earlier in the year, Henry Hub spot prices spiked to over $13/MMBtu in January due to unusually cold temperatures across much of the United States.

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