WASHINGTON, D.C. / RankWire.AI / – Projected to hit an all-time peak of 122.5 billion cubic feet per day in 2026, the U.S. natural gas market is experiencing significant growth. According to the U.S. Energy Information Administration, the previous record was 118.5 Bcf/d in 2025. During the first half of this year, output averaged 121.3 Bcf/d, representing a 4% increase, or 4.6 Bcf/d, compared to the same period in 2025. These advancements keep the nation on course for another annual production peak.
The Permian Basin, spanning Texas and New Mexico, is a major contributor to this increase. Forecasts indicate natural gas production there will average 29.2 Bcf/d in 2026, a 6% rise from 2025. Much of the gas produced in the region comes from wells primarily extracting crude oil. Through July 2026, West Texas Intermediate crude averaged roughly $84 per barrel, compared to about $65 per barrel in 2025.
Production in the Haynesville formation has also increased, with output expanding across Louisiana and Texas. During the first half, production grew by 1.1 Bcf/d, or 7%, over the previous year. The full-year forecast predicts a 9% increase, roughly 1.3 Bcf/d, solidifying Haynesville’s position as one of the nation’s leading natural gas producing regions. Its proximity to Gulf Coast demand centers and liquefied natural gas facilities ensures much of its supply remains close to key markets.
Permian and Haynesville Drive U.S. Natural Gas Production
Natural gas prices have stayed below earlier projections for the year due to high production and storage levels. The EIA expects the Henry Hub spot price to average $3.44 per million British thermal units in 2026, with a forecast of $2.87 per MMBtu for the third quarter. Additionally, lower LNG feedgas demand during maintenance periods has helped maintain high storage levels, with inventories expected to reach a record 3,985 billion cubic feet by the end of October, about 5% above the five-year average.
Forecasts for dry natural gas production in 2026 stand at an average of 111.19 Bcf/d, excluding some volumes counted under the broader marketed production measure. Production is expected to climb to 116.04 Bcf/d in 2027. U.S. natural gas consumption is projected at an average of 92.03 Bcf/d for this year. These figures demonstrate that domestic supply remains significantly higher than total consumption, with exports accounting for an increasing share of overall demand.
LNG Shipments Boost Record-Setting Production Levels
Exports of liquefied natural gas from the U.S. are expected to average 17.4 Bcf/d in 2026, up from 15.1 Bcf/d in the previous year. The forecast indicates further growth to 18.6 Bcf/d in 2027. Pipeline exports are projected to average 9.6 Bcf/d this year, slightly above the 9.5 Bcf/d recorded in 2025. During the third quarter, LNG exports are forecast at 16.5 Bcf/d, a temporary dip caused by maintenance reducing feedgas demand at some Gulf Coast export facilities.
From 2009 through 2024, the United States held the position of the world’s largest natural gas producer, according to the latest comparable global data. The outlook for 2026 points toward another record for U.S. marketed production, driven primarily by growth in the Permian and Haynesville regions. Elevated output levels, robust storage, and rising LNG exports define the current landscape of the U.S. natural gas industry as it surpasses the record set in 2025.