The US energy landscape is undergoing a quiet but seismic shift. Natural gas is on track to dethrone petroleum as the country’s most consumed energy source by the end of the decade, a transition driven by booming LNG exports and an insatiable appetite for electricity from data centers.
Natural gas already dominates on the production side. In 2024, it accounted for 37.9% of US energy production compared to crude oil’s 26.6%. But consumption has been a different story, with petroleum still holding the top spot.
The numbers behind the shift
Energy consultancy ICF projects US natural gas demand will rise by 25% by 2030, reaching approximately 138 billion cubic feet per day. LNG exports are expected to account for roughly 60% of the demand increase, while power generation is projected to drive about 22% of the growth.
The Permian Basin tells the story in microcosm. Natural gas production there surged 60% from 2021 to 2025, hitting 27.6 billion cubic feet per day. Crude oil production in the same region grew by 39% over that period.
