Expand Energy said Haynesville production may need to rise by about 5 billion cubic feet per day over the next four to six years to meet growing U.S. natural gas demand. The company reported third-quarter Haynesville output prices of $2.68 per MMBtu and said prices above $4 would make its western acreage competitive.
Expand Energy said production in the Haynesville region of Texas and Louisiana may need to increase by about 5 billion cubic feet per day over the next four to six years, COO Josh Viets said on a post-earnings call. The company described Haynesville as a key marginal source of supply that could help set natural gas prices, while saying the Permian basin will be unable to meet rising U.S. demand.
Expand said it realized an average of $2.68 per MMBtu for Haynesville output in the third quarter, slightly more than for output from northeast and southwest Appalachia. Prices above $4 per MMBtu would make its western Haynesville acreage competitive, and the company expects well productivity there to improve by about 2% to 3% annually.
Expand said increased winter output from private Haynesville operators could create a near-term supply overhang. It forecast pressure on oilfield-service capacity in 2027 and low-to-mid-single-digit overall cost inflation next year; it also said a proposed EQT–Range Resources deal would not change its plans. Expand reported adjusted third-quarter earnings of $1.46 per share, above analysts’ average estimate of $1.27, and its shares fell 2% in afternoon trading.
