The US Energy Information Administration lists short-term projections for natural gas prices; the website also lists production and consumption projections. Knoema also lists information collected from various sources, including production outside of the United States.Continue Reading
Unlike oil, which is fairly simple to transport, natural gas is generally delivered by pipes to nearby locations and is difficult to transport through traditional means. As a result, prices can vary significantly across different regions. Prices in Russia typically have only minimal impact on prices in North America since the supply used in North America is generated on the continent.
As with other fossil fuels, natural gas prices vary based on demand. Prices increase during winter months in the United States when demand is greatest. In addition, colder winters typically command high prices than warmer winters, so accurate projections are dependant upon accurate weather forecasts. Suppliers also vary their production based on forecasts as well, which helps keep prices from fluctuating too much.
Natural gas is commonly used in manufacturing, and some manufacturers switch to natural gas if it's cheaper to use than oil-derived fuels. Because of this, those creating projections need to account for the price of oil and whether manufacturers are capable of switching between both types of fuel.Learn more about Business Resources