Is $3/MMbtu new floor for US gas output growth?

Getting a handle on the future of natural gas prices usually means analyzing all the cross-currents of supply and demand. Casting a sidelong glance at what oil prices are doing also becomes necessary at times to get a fix on gas prices.Now we have analysis that posits that US gas prices will be roughly at market equilibrium starting with a floor of $3/MMbtu (Henry Hub), because that's the price producers need for a decent return on investment.Thomas Driscoll, analyst with investment banking house Lehman Bros., set aside the usual divinable entrails of gas supply and demand to take a close look at the costs of finding and producing that gas-for the purpose of developing a midcycle pric...

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