Wood Mackenzie anticipates a substantial change in the US natural gas market, projecting that Henry Hub prices will climb to around US$5/mmbtu (real) by 2035. This represents a notable increase from the US$2-4/mmbtu nominal range that prevailed for most of the last decade. This period of lower prices was instrumental in supporting the development of US Liquefied Natural Gas (LNG) export infrastructure and broader energy sector expansion.
For freight forwarders and shippers, this forecast suggests potential implications for operational costs, particularly for those involved in energy-intensive industries or the transport of LNG. Higher natural gas prices could lead to increased production costs for goods manufactured using natural gas, which might eventually translate into higher shipping rates as fuel and energy expenses rise across the supply chain. Furthermore, the economics of LNG exports from the US could shift, potentially influencing trade flows and demand for specialized LNG carriers.