Depending on which energy prognosticators you follow, 2025 is already gathering a perfect storm for American natural gas—but in a sunny interpretation of the term. In these last waning days of the year, a confluence of domestic and global factors is at play, ahead of a new administration that recognizes the value of and opportunity for our prolific natural gas resources.

Reese Energy Consulting today is following the latest projections for natural gas heading into the New Year and signing off 2024 with a decline in production due to gutter prices that left producers calling King’s X.

A few predictions worth note:    

• U.S. LNG exports are set to grow by 15% to the tune of 14 BCFD, with added capacity now coming from Plaquemines and Cheniere’s latest expansion, and a presumed lift of the moratorium on export permits
• U.S. spot gas prices are predicted to rise more than 40% from 2024 levels
• Henry hub prices are forecast to average $3.25/mmbtu
• Europe’s dependence on U.S. LNG will continue to grow as it weans itself off Russian imports
• AI and data centers will become a huge consumer of gas-fired electrical power in the years to come

If all this creates a perfect storm for American natural gas, it’s about damn time. And we can’t wait to see what lies ahead.