An Amazon datacentre in Virginia. More datacentres for AI means greater power demand
Do not fear runaway Henry Hub prices
Rising LNG exports and AI-driven power demand have raised concerns that US gas prices could climb sharply, but analysts say abundant shale supply and continued productivity gains should keep Henry Hub within a range that preserves the competitiveness of US LNG
The rapid growth in US LNG exports, coupled with rising domestic gas demand driven partly by AI development, has fuelled concern that Henry Hub prices could climb sharply in years to come and gradually erode the long-term competitiveness of US LNG on the global market. Those fears are understandable, but they are for now overstated. In the short term, the crisis around the Strait of Hormuz has made concerns over the competitiveness of US LNG somewhat beside the point. With buyers scrambling to secure supply amid disruptions to Middle Eastern exports, the key issue has been availability rather than marginal differences in cost. Over the longer term, however, analysts do not expect Henry Hub t
Also in this section
2 April 2026
Alongside a rapid continued build-out of renewables, China’s latest five-year plan stresses the value of domestic hydrocarbon production for energy security and calls for increased Russian gas imports
2 April 2026
The government is taking important steps to revive domestic production, lift investment and benefit from the geopolitical crisis even if more needs to be done in the longer term
1 April 2026
Golden Pass’s startup offers QatarEnergy a timely boost but may also force a difficult choice between honouring disrupted contracts and capitalising on soaring spot LNG prices
1 April 2026
It is not a case of if or when, but the length and magnitude of economic damage from elevated oil prices
