Spot natural gas prices at the benchmark Henry Hub in Louisiana are expected to average $3.86/MMBtu in 2016, the US Energy Information Administration said Tuesday in its first forecast for that time frame. The January Short-Term Energy Outlook also cut the agency’s 2015 natural gas price call to $3.44/MMBtu, which is 39 cents below last month’s forecast. In comparison, Henry Hub spot prices averaged $4.39/MMBtu in 2014, the agency said. In its outlook, EIA cut the price estimate for first-quarter of 2015 by 72 cents to $3.23/MMBtu, and it reduced its Q2 outlook by 33 cents to $3.30/MMBtu. The drop in near-term prices comes from a warm December, EIA Deputy Administrator Howard Gruenspecht said Tuesday on a conference call. Production also is playing a role, according to the outlook. “EIA expects the Henry Hub natural gas spot price to average $3.52/MMBtu this winter compared […]