U.S. natural gas output in the lower 48 states increased to 80.3 billion cubic feet per day (Bcf/d) in August from 79.6 Bcf/d in July, the U.S. Energy Information Administration (EIA) said in its monthly 914 production report.

That was the first increase in monthly production since February.

Gas production in August was down almost 2% from year-earlier levels of 81.9 Bcf/d, the EIA said.

The increase occurred as drillers started to return to the well pad as oil prices climbed over $50 a barrel in recent months. Most of the new drilling was in the Permian shale in west Texas and eastern New Mexico.

Monthly production in the lower 48 states peaked in February at 82.6 Bcf/d.

Output was mixed in the biggest producing lower 48 states, with Texas, the largest, down 0.1% to 22 Bcf/d in August from July. That is the state's lowest level of monthly output since March 2012.

Production in Pennsylvania also declined 0.1% to 14.3 Bcf/d in August from July.

In Oklahoma, meanwhile, August output increased 1.3% from July to 6.7 Bcf/d.

Many analysts and the EIA have projected U.S. gas production in 2016 will decline for the first time since the start of the shale revolution a decade ago as low energy prices reduced drilling activity.

U.S. gas production last dropped in 2005 when Hurricanes Katrina and Rita slammed into the Gulf Coast, damaging energy infrastructure along the Gulf of Mexico that had been supplying more than 20% of the nation's gas.

Since then, producers have figured out how to use horizontal drilling and hydraulic fracturing technologies to unlock more of the gas trapped in shale rocks.

Today, the seven biggest U.S. shale fields provide more than 60% of the nation's dry gas production, while the Gulf of Mexico accounts for just 4% of the total.