| Greetings, Utah Energy United! One of the most persistent myths about our industry is that exports will raise domestic prices. Granted, these myths are perpetuated by people who don’t like our industry in the first place, but as you know, when something like this takes root, it can be extremely hard to undo. Thankfully, the numbers don’t lie, and it’s been demonstrated again and again that exports do not raise prices for us here at home. But first, let’s talk about the increase in LNG exports and how those markets look. Here’s a recent headline from the U.S. Energy Information Administration: “Global liquefied natural gas trade volumes reached record high in 2025.” Interesting! Let’s dig into that, shall we? Global liquefied natural gas (LNG) trade volumes increased 5.4% to a record 56.3 billion cubic feet per day last year (Bcf/d), driven largely by U.S. LNG export capacity expanding to meet growing demand, according to a recent report from the International Group of Liquefied Natural Gas Importers (GIIGNL). Global LNG trade has slowed this year following the closure of the key export route for Qatar, the world’s second-largest LNG exporter. LNG exports from the United States increased by 26% to 15.1 Bcf/d in 2025, a larger increase than from any other country, according to our Natural Gas Monthly. We forecast U.S. LNG exports will increase further, to 17.4 Bcf/d of LNG in 2026 and 18.6 Bcf/d in 2027 in our Short-Term Energy Outlook. Now that we have that appropriate context, let’s take a look at the Henry Hub price for natural gas from last Friday, the price from the same day a year ago, and the same day two, three and four years ago: July 17, 2026: High: $2.91; Low: $2.83 July 17, 2025: High: $3.56; Low: $3.51 July 17, 2024: High: $2.21; Low: $2.02 July 17, 2023: High: $2.58; Low: $2.48 July 18, 2022: High: $7.55; Low: $7.08 Exports don’t seem to be driving the price differences here, do they? What exports have done, however, is stabilize the world’s natural gas markets while the situation continues to unfold in and around the Strait of Hormuz. The United States has ample natural gas resources, and (shock of shocks!) free markets actually work! The decisions we make here have ripple effects across the world, and the evolution of how countries procure natural gas is proof positive of that. Exports are a net positive for our country, our allies, and the stability of worldwide markets alike. Utah ranks 13th in natural gas production, which means what we produce here has a material and additive effect to that overall picture. As you continue your own work in our industry, that’s a cool thing to keep in perspective. What you do matters, not just to your company, your state, or your country. It matters in terms of understanding how the world gets its energy. Always try to remember that. Thank you for your continued engagement with Utah Energy United. Happy Friday! Be sure to follow us on X, Facebook, and LinkedIn. And if you know someone who should be a part of Utah Energy United, get them to sign up here. Rikki Hrenko-Browning President Utah Petroleum Association 6905 S. 1300 E. #288 Cottonwood Heights, UT 84047 (435) 219-0963 rhrenko-browning@utahpetroleum.org  |
Exports and the Price of Natural Gas