US natural gas production and demand this year and the next two years will decline from last year's
According to reports, the US Energy Information Administration (EIA) stated in its "Short-Term Energy Outlook" (STEO) on Tuesday that the US natural gas production in 2020 and 2021 is due to government measures to slow the spread of the epidemic and reduce economic activity and energy prices. And demand will decline from last year’s historical high.
The EIA expects that dry gas production will decline from a record high of 92.21 billion cubic feet in 2019 to 89.24 billion cubic feet per day in 2020 and 84.23 billion cubic feet per day in 2021. It also expects the daily consumption of natural gas to drop from a record 84.97 billion cubic feet in 2019 to 82.35 billion cubic feet in 2020 and 78.62 billion cubic feet in 2021. This will be the first annual decline in consumption since 2017 and the first two consecutive years of decline in demand since 2006. EIA's July 2020 natural gas supply forecasts are lower than it's June forecast of 89.65 billion cubic feet, while its latest 2020 demand outlook is higher than it's June forecast of 81.87 billion cubic feet. The agency predicts that U.S. LNG exports will reach 5.35 billion cubic feet per day in 2020 and 7.28 billion cubic feet per day in 2021, higher than the record 4.98 billion cubic feet per day in 2019. Below its June forecast. It was 5.7 billion cubic feet per day in 2020 and 7.31 billion cubic feet per day in 2021.