US natgas market to see record output this winter, NGSA says

Sept 22 (Reuters) - U.S. natural gas production is projected to reach record highs this winter, helping to meet both domestic consumption and rising liquefied natural gas export demand, according to the Natural Gas Supply Association’s 2025–2026 Winter Outlook.

"This winter, the U.S. natural gas market faces a balancing act: surging supply versus rising demand. While production and storage are strong, price pressure could arise from wildcards," the NGSA said.

Total gas demand is projected to increase by 4.2 billion cubic feet per day (bcfd) this winter, driven primarily by LNG exports, which are set to rise by 3.8 bcfd as new liquefaction capacity comes online.

On the supply side, NGSA forecasts U.S. production at a record 108.5 bcfd, up nearly 4 bcfd from last winter.

NGSA noted that U.S. storage levels are starting the season near 3.818 trillion cubic feet (tcf), slightly lower year-on-year, but still 3.2% above the five-year average, reflecting strong production through 2025 and relatively moderate summer injections.

The industry group added that energy demand from data centers continues to soar, with projections rising from 30 gigawatts (GW) in 2024 to over 41 GW by 2027.

On Monday, the front-month gas futures for October delivery NGc1 on the New York Mercantile Exchange settled 2.8% lower at $2.806 per million British thermal units (mmBtu). NGA/