Global gas: North America regional market report (July 2021)

The North American gas market is finishing up one of its highest priced summers in recent history. Recent Henry Hub movements, a great contrast to last summer’s prices, underscore the delicate balance between supply and demand fundamentals for a market that is becoming increasingly global. Highlights of our most recent update include: • Upgraded associated supply counters stronger LNG exports and creates moderate headwinds for Henry Hub over the next 3-5 years. • Sustained export growth offsets lackluster domestic demand in the medium term, and more non-associated supply is needed to support a market expansion. • Energy transition efforts push down overall gas demand, but declining associated supply pulls up supply costs in the long term.