LNG

US dry natural gas production set an all-time high in July, led by a record surge in the Permian Basin, as higher global gas and LNG prices spurred additional output to offset constrained Qatari deliveries, according to the Energy Information Administration’s latest Natural Gas Monthly. Gross withdrawals in Texas and New Mexico increased by a combined 1.7 Bcf/d, or 3.2% from June to July, pushing total US gross withdrawals to a record 137 Bcf/d and lifting both marketed and dry production to new peaks. EIA analysts expect production will keep rising since flexible US LNG exports fill much of the gap left by constrained Qatari deliveries as long as shipping constraints through the Strait of Hormuz persist.