Your Nightcap for 8-6-25

NatGas w/ a Splash of Oil

Trading range: $2.94 to $3.09

Gas prices jumped back above $3.00 due to fears of production decline, growing LNG exports, and the return of hotter temps, especially for the second half of Aug ’25.

While US oil production is seen to be plateauing, the outlook for gas, especially LNG, is robust, to say the least. However, gas produced as a byproduct of oil drilling will decrease with decrease in oil production, prompting more reliance/production in regions such as Haynesville Shale and Appalachian Basin

Oil continues to fall despite a 1-week US $ and increasing global trade tension.

LNG

A new U.S. policy requires a growing percentage of LNG exports to be shipped on vessels built and flagged in the U.S., gradually ramping up to 15% by 2047. This policy sparks concerns over whether shipbuilding capacity and skilled labor can meet the timeline, risking potential export bottlenecks and increased costs.

Power

Major growth in U.S. power demand is reshaping both infrastructure and supply strategies, especially in regions like TX.

Even with proposed RE cuts, projects (like the 1,700-panel rooftop system for CarMax in VA) are still moving forward, and at a quicker project pace than before.

The Drivers

The energy sector is being actively affected by intensifying trade, regulatory, and geopolitical pressures, all of which continue to shape market dynamics and policy responses across the industry.

Today’s Specials

Energy Transfer is advancing a $5.3 billion gas pipeline from the Permian Basin to the Southwest to meet rising demand across New Mexico and Texas. Could there be more to come for the West?

The EPA announced it will claw back $7BB in “Solar for All” grant funding.

To the Data Center and AI communities looking for energy solutions, we literally have stacks of energy options for you to choose from.

Our Nightcap Beats Their Recap