HomeNewsU.S. natural gas futures climb 2% on near-record LNG export flows

U.S. natural gas futures climb 2% on near-record LNG export flows

12/22/2025
  • LNG export flows near record highs
  • Gas output remains at record levels in Lower 48 states, LSEG reports
  • Energy Transfer suspends Lake Charles LNG plant development to focus on pipelines

U.S. natural gas futures climbed about 2% on Friday on near-record gas flows to liquefied natural gas (LNG) export plants. That price increase came despite forecasts for milder weather and lower demand over the next two weeks than previously expected and near-record output.

Front-month gas futures for January delivery on the New York Mercantile Exchange rose 7.6 cents, or 1.9%, to settle at $3.984 per million British thermal units (mmBtu).

That price increase pushed the front-month out of technically oversold territory.

For the week, the contract was down about 3% after dropping around 22% last week.

Looking forward, gas futures for calendar 2026 fell to a 13-month low of $3.73 per mmBtu. That compares with a futures average of $3.60 so far in 2025, $2.41 in 2024, and $3.52 over the prior five years (2019-2023).

Supply and demand. Financial firm LSEG said average gas output in the Lower 48 states held at 109.6 billion cubic feet per day (bcfd) so far in December, the same as November's monthly record high.

Meteorologists forecast weather across the country would remain mostly warmer than normal through January 3, keeping the amount of gas needed to heat homes and businesses lower than usual for this time of year.

LSEG projected average gas demand in the Lower 48 states, including exports, would fall from 144.6 bcfd this week to 127.5 bcfd over the next two weeks. The forecast for next week was lower than LSEG's outlook on Thursday.

Average gas flows to the eight large U.S. LNG export plants rose to 18.5 bcfd so far this month, up from a monthly record high of 18.2 bcfd in November.

That increase in LNG feedgas came despite what analysts called small gas flow declines at U.S. energy firm Venture Global's <VG.N> 1.6-bcfd Calcasieu and 3.2-bcfd Plaquemines plants in Louisiana in recent days. Officials at Venture Global were not immediately available for comment on the reductions.

In other LNG news, U.S. energy firm Energy Transfer said it was suspending the development of its Lake Charles LNG export plant in Louisiana to focus on its investments in its pipeline business.

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