LNG Exports Set to Drive US Natural Gas Demand Growth to Over 50 Bcf/d

The US natural gas market is poised for significant growth, driven largely by LNG exports. East Daley Analytics forecasts that feedgas demand will reach over 50 Bcf/d by 2035, with a substantial contribution from projects at various stages of development.

LNG facilities with a Final Investment Decision (FID) already in hand are expected to double feedgas demand, from around 20 Bcf/d currently to 40 Bcf/d. However, East Daley also tracks 15 LNG projects that have reached FID and advanced to the construction or commissioning phase.

The pre-FID stage includes a group of developers who must still demonstrate that their new LNG facilities can support billions in capital investment. This requires financing agreements with lenders, permits from multiple state and federal agencies, and signing sufficient long-term offtake agreements.