U.S. Henry Hub natural gas price expected to increase from recent lows

In our May Short-Term Energy Outlook (STEO), we expect the U.S. benchmark Henry Hub natural gas spot price to increase throughout 2023 from its recent lows. In April, the Henry Hub price averaged $2.16 per million British thermal units (MMBtu). We expect the monthly average Henry Hub price to reach $3.71/MMBtu in December. Forecast prices throughout the rest of the year remain much lower compared with last year, averaging $2.91/MMBtu for the year, a more than 50% decline from the 2022 average price of $6.42/MMBtu, according to our May STEO.