EIA sees US natgas production down 3 pct in 2010

NEW YORK Jan 12 (Reuters) - The U.S. Energy Information Administration on Tuesday slightly raised its estimate for domestic natural gas production in 2010 but still expected output this year to be down 3 percent from 2009 levels.

In its January Short-Term Energy Outlook, EIA said it expected marketed natural gas production to be down 1.8 billion cubic feet per day, or 3 percent, this year, primarily due to steep declines from initial production at newly drilled wells and the lagged effect of reduced drilling activity.

EIA also forecast U.S. natural gas consumption this year would average about 62.44 bcf per day, little changed from 2009 demand of 62.45 bcf daily, as growth in residential, commercial and industrial use is offset by declining demand from the electric power sector. (Reporting by Joe Silha)