The Gas Ships of Bombay - The Potential for U.S. LNG to Help Meet Indian Demand

India is turning heads in the global LNG market, and if the buzz from India Energy Week 2025 is any indication, the country is gearing up for a natural gas future that could rival some of the world's biggest players. Deals were flying left and right in New Delhi, from Indian Oil Corporation's (IOCL) groundbreaking LNG export to Nepal by cryogenic truck to a $7 billion, 14-year supply agreement between IOCL and Abu Dhabi National Oil Company (ADNOC). The flurry of signings underscores India's need to secure reliable, long-term LNG supply as it races to meet surging natural gas demand, which the International Energy Agency (IEA) projects will jump nearly 60% to 103 billion cubic meters per year (Bcm) by 2030 (~10 BCF/d). But for all the excitement, panelists made one thing clear: for LNG to drive India's gas transition, it needs to be affordable.

Price sensitivity has long been a stumbling block for India's gas ambitions. Out of 25 GW of currently installed gas-fired power capacity, only 16 GW is operational, thanks to high natural gas prices. It's anticipated that if prices could settle into the $5-9/MMBtu range, gas-fired generation could roar back to life, unlocking major demand. That brings the U.S. into the picture. With new LNG export capacity expected to come online by 2026 and beyond, U.S. cargoes could be well-positioned to help India bridge its looming supply gap. GAIL India, the country's top gas distributor, is already eyeing new deals with U.S. exporters following the rollback of Biden’s pause on LNG export permits. If U.S. LNG can land in India at the right price point, it could fuel everything from power plants to industrial facilities to city gas networks.

But it won't be a slam dunk. Infrastructure bottlenecks remain a challenge, with LNG import capacity projected to fall short by 240 million metric standard cubic meters per day (MMSCMD; ~8.5 BCF/d) even after planned expansions. GAIL's existing 5.8 MMTPA (0.8 BCF/d) of U.S. LNG supply from Cove Point and Sabine Pass is a start, but more deals will be needed as India's contracted supply begins to fall short post-2028. The opportunity is huge. But to get there, reliable, competitively priced LNG—with U.S. players front and center—will be crucial to keeping India's gas ambitions on track.

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Too Much, Too Little, Too Late - Can a New Set of Buyers Reinvigorate the LNG Market?

Author Housley Carr

With liquefaction capacity and supply of liquefied natural gas on the rise and LNG demand flat, prices for super-cooled, liquefied gas are low and may well stay low into the early 2020s. That’s a concern for LNG suppliers, who (like all suppliers) would prefer it if demand was soaring and supply was a little tight. There are some rays of hope, though, in what many have seen as a gloomy time for the LNG sector. After all, with spot LNG prices below $5/MMBtu (far lower than they were 30 months ago) and ample supplies of LNG available, a growing list of nations are looking either to become LNG importers or to significantly expand their LNG imports. Today, we continue our review of the LNG market with a look at the new demand that may be spurred by supply surpluses and low prices.

Thu 4/30/15 - Blog

Natural Gas

A Whole New World--Asian LNG Demand and North American Gas Production

Author Housley Carr

The pace of liquefied natural gas (LNG) demand growth in Asia will be a critical factor in determining how much natural gas North American producers export over the next 10 to 20 years, and gas/LNG export levels are sure to affect U.S. and Canadian gas production levels and prices. Last year's pause in Asian LNG demand growth--combined with a collapse in LNG prices--led many to wonder, where is all this heading, and what does it mean for gas producers and LNG exporters? Today, we continue our review of the fast-changing international LNG market with a look at Asia's burgeoning gas needs and how they will likely be met.

Tue 3/4/25 - Blog

Natural Gas

Breaking Up Is Hard To Do - Move Away From Long-Term Deals Carries Risk for LNG Buyers, Producers

Author Richard Pratt

The long-term contract has been the cornerstone of the global LNG industry since its inception. Such contracts between upstream LNG producers and downstream utility companies have provided buyers with security of supply over a protracted period while guaranteeing producers sufficient income to justify the investment in export facilities and shipping fleets. But times are changing, with significant LNG volumes under long-term contracts scheduled to expire by 2031. In today’s RBN blog, we look at the potential implications for LNG buyers and producers around the world, the options available to them, and how their choices may impact LNG commercial models.

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Roundabout! - Canada-To-Rockies Crude Flows Reshaping The PADD 4 Guernsey Market

Canadian crude output is rising, requiring new export routes. As traditional pathways face constraints, the U.S. Rockies—especially the Guernsey, WY hub—are emerging as key corridors for moving Canadian heavy crude to downstream markets, including the Gulf Coast.

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RBN NATGAS Haynesville

The RBN NATGAS Haynesville is a weekly natural gas fundamentals analysis focused on supply, flow, and LNG-driven demand dynamics within the Haynesville basin.