Declines in rig activity triggered by sustained low natural gas prices are starting to take their toll on US gas production forecasts, the Energy Information Administration said Tuesday in its monthly outlook. EIA lowered by 210 MMcf/d to 79.29 Bcf/d its marketed gas production estimate for the US in second-quarter 2016. The Q3 production forecast also took a hit, falling 10 MMcf/d from last month’s estimate to 79.50 Bcf/d, EIA said in its May Short-Term Energy Outlook. The report noted that while production saw a month-on-month uptick in February to 80.10 Bcf/d — the second-highest production level on record — “more recent preliminary data indicate production may be leveling in the next few months,” with output remaining relatively unchanged through the rest of this year. EIA added that it expects full-year 2016 production to average 79.62 Bcf/d, a 20 MMcf/d downward revision from its prior estimate, reflecting a 0.9% […]