According to the US Energy Information Administration, the increase in Henry Hub prices over recent months is due to below-average storage levels heading into the winter heating season and strong demand for US LNG.
The U.S. Energy Information Administration’s August 2021 Short-Term Energy Outlook estimates that LNG exports will overtake pipeline exports by 0.6 billion ft3/d this year.
EIA discusses the Global LNG market in 2020 and ‘The LNG Industry: GIIGNL Annual Report 2021’ released by the International Group of Liquefied Natural Gas Importers.
According to the EIA, both natural gas consumption by the US electric power sector and natural gas exports reached record highs in 2020.
The EIA’s Annual Energy Outlook 2021 projects that there will be a wide range of US LNG export volumes through 2050, based on its published side cases.
US LNG exports will exceed natural gas exports by pipeline in the first and fourth quarters of 2021 and on an annual basis in 2022, according to US EIA forecasts.