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US natural gas production reached an all-time high in July 2026, driven primarily by increased output from the prolific Permian Basin, according to the latest data from the US Energy Information Administration (EIA).
Gross withdrawals, which represent the total volume of natural gas extracted at the wellhead, reached a record 137 billion cubic feet per day (Bcf/d) in July, the EIA said in its latest Natural Gas Monthly report. The July record marked the first new monthly production high in 2026, following five record-setting months in 2025. According to the EIA, the increase was primarily driven by new wells coming online in Texas and New Mexico. The Permian region, covering parts of western Texas and eastern New Mexico, is among the world's most prolific oil and gas producing areas. Gross withdrawals in Texas and New Mexico rose by a combined 1.7 Bcf/d, or 3.2 per cent, between June and July 2026. Production also increased in Louisiana, Oklahoma and North Dakota during July, with gross withdrawals in each state rising by more than 0.1 Bcf/d. The EIA said the Permian Basin has also been experiencing increased gas-to-oil ratios, contributing to higher natural gas output. US natural gas production had already increased in 2025, with the EIA attributing the growth to higher natural gas prices, continued improvements in new-well productivity and increased operational efficiency. Infrastructure developments are also helping support production growth in the Permian region. The EIA said new natural gas pipeline infrastructure is easing long-standing gas transportation bottlenecks in Texas. Increased pipeline capacity is allowing more gas to be transported out of the Permian Basin towards liquefied natural gas (LNG) export terminals along the Gulf Coast. One such project, the Hugh Brinson Pipeline, began interstate pipeline flows ahead of schedule during the summer. The EIA said new pipelines are increasing takeaway capacity from the Permian Basin, supporting the movement of additional natural gas to Gulf Coast LNG export facilities and helping facilitate continued production growth. The latest record comes as US natural gas producers continue to expand output amid improving well productivity, operational efficiencies and infrastructure development across key producing regions. (ANI)
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