Domestic Oil and Gas News: Week of September 14th, 2025
ConocoPhillips LNG Deal Moves Forward
ConocoPhillips entered a 20-year agreement to buy 1 million tonnes/year of LNG from NextDecade’s “Train 5” of the Rio Grande LNG export facility in Texas. Reuters
This deal helps push forward the final investment decision (FID) for Train 5, part of NextDecade’s plan to expand export capacity. Reuters
New Natural Gas‐Fired Power Plants Approved in Texas
The Public Utility Commission of Texas approved Entergy Texas’ plan for two new combined natural gas power plants (Lone Star and Legend, near Houston). Houston Chronicle
These are expected online by mid-2028; the approval includes a hard cost cap of $2.4 billion to limit what customers pay if costs overrun. Houston Chronicle
Estimated rate increase for average residential customers: ~$21.50/month. Houston Chronicle
California Energy Legislative Package
State lawmakers in California have sent Governor Gavin Newsom a sweeping energy reform package. Key elements: extension of the cap-and-trade program through 2045, funds for wildfire prevention, measures to expand oil drilling in Kern County, and strengthening air quality monitoring in communities affected by pollution. Politico
Market, Supply, & Policy Trends
According to the EIA’s Short-Term Energy Outlook, U.S. natural gas production is expected to be fairly flat in 2026 vs 2025, while crude oil production is forecast to drop by ~1%. U.S. Energy Information Administration
Natural gas prices are anticipated to rise toward end-2026, driven by increased demand from LNG exports and tighter supply from associated gas (oil-rich areas) declines. U.S. Energy Information Administration
Weekly natural gas export activity remains high: ~16.0 Bcf/day delivered to U.S. LNG terminals; rig counts for gas drilling are essentially holding steady but have seen regional shifts. U.S. Energy Information Administration
Crude and gasoline stocks are showing modest movements. For example, recent EIA reports show crude stocks up slightly, while gasoline inventories are declining. U.S. Energy Information Administration+1