An unprecedented expansion of LNG supply is forecast by the IEA. (Image source: Adobe Stock)

Around 300 billion cubic metres (bcm) per year of LNG export capacity is set to be added by 2030, mainly thanks to liquefaction capacity additions in the USA and Qatar, according to the IEA’s newly-released Gas 2025 report

This unprecedented expansion of LNG supply, which the report forecasts will translate to a potential net LNG supply increase of 250 bcm a year by 2030, is expected to strengthen global supply security and ease market pressures following a period of tightness, spurring demand and making natural gas more affordable – including in emerging, price-sensitive import markets.

The USA and Qatar together account for 70% of the record additional capacity, further concentrating global supply in today’s top two exporting markets. Canada is set to account for a further 9% of capacity growth on its own due to its first two liquefaction projects coming online. African projects – led by Nigeria LNG train 7 – are expected to cover around 6% of global capacity growth to 2030.

Despite macroeconomic uncertainty, 2025 has seen the second highest amount of LNG liquefaction capacity reaching final investment decision (FID) in a single year. More than 90 billion cubic metres per year (bcm/yr) of additional capacity has been sanctioned so far in 2025.

Over 80 bcm/yr of liquefaction capacity has been approved year-to-date in the USA, an all-time high for the US LNG sector. The projects include Louisiana LNG, Corpus Christi Train 8&9, CP2 phase 1, Rio Grande LNG Train 4 & 5 and Port Arthur phase 2.

The amount of LNG projects reaching FID highlights the industry’s confidence that demand for LNG will continue to expand strongly, reflecting the supportive policy environment in the USA for natural gas projects. This new wave of LNG projects is set to further solidify the USA’s position as the world’s largest LNG exporter. By the end of the decade, the country could provide around one-third of global LNG supply, up from around 20% in 2024, according to the IEA.

Rising demand

The report’s base case sees natural gas demand rising by nearly 1.5% annually between 2024 and 2030, an increase of 380 bcm in absolute terms; in the report’s higher case scenario this could be as much as 1.7%. The Asia Pacific region would account for half of growth, and the Middle East, where countries like Saudi Arabia are switching from oil to gas for power systems, would contribute almost 30%. At the same time, a prolonged period of lower LNG prices could reduce the incentive for project developers to invest in the sector. This could lead to a potential tightening of global gas markets after 2030, especially if demand growth follows a higher trajectory.

The report forecasts that the global LNG market will become increasingly liquid and flexible, with the share of destination-free contracts accounting for just over half of total LNG volumes contracted by 2030.

“The coming LNG wave is set to offer some respite for global gas markets, which have been tight and volatile for several years. As new supply comes to market, notably from the United States and Qatar, it should apply downward pressure on prices – offering welcome relief for gas importers worldwide,” said IEA director of Energy Markets and Security Keisuke Sadamori.

“But elevated geopolitical tensions and economic uncertainty mean there is no room for complacency. Global cooperation remains essential to ensure supply security – especially with rising electricity consumption set to drive gas demand higher in many regions.”

Gas 2025 provides a comprehensive overview of potential supply, demand and trade trends in global natural gas markets for the coming years.

Baker Hughes' UBCTD fleet will be expanded for drilling projects across fields in the Kingdom. (Image source: Adobe Stock)

Baker Hughes has won a contract from Aramco to expand its integrated underbalanced coiled tubing drilling (UBCTD) operations across Saudi Arabia’s natural gas fields

Under the multi-year agreement, scheduled to commence in 2026, Baker Hughes will expand its current UBCTD fleet from four to 10 units for re-entry and greenfield drilling projects across fields in the Kingdom. The company will provide integrated solutions to manage all aspects of the UBCTD operations, including coiled tubing drilling units, underbalanced drilling services, operational management, well construction, and geosciences to scale and accelerate their access to gas from new and established fields.

“This project is the result of nearly two decades of successful collaboration between Baker Hughes and Aramco, which have set the standard for UBCTD,” said Amerino Gatti, executive vice president of Oilfield Services & Equipment at Baker Hughes. “By combining advanced technologies with a holistic, integrated approach, we can support Aramco to more efficiently access bypassed and hard-to-reach hydrocarbons and produce the resources that help the Kingdom thrive. This expansion sets the stage for further innovation in UBCTD, which has the potential to shape how oil and gas are produced around the world.”

Baker Hughes’ integrated approach to UBCTD includes the industry-leading CoilTrak bottomhole assembly (BHA) system and enhanced reservoir analysis driven by GaffneyCline energy advisory. This unique pairing of technology and insight allows operators to more effectively navigate the subsurface environment during horizontal drilling and re-entry operations. By combining these solutions with holistic project management services, Baker Hughes will enhance production efficiency, speed and safety while mitigating reservoir damage when compared to traditional development methods.
Baker Hughes entered the UBCTD market in 2008.

The award comes as Saud Arabia is significantly expanding its gas business, including the development of its unconventional gas resources, with the target of increasing its gas production capacity by more than 60% by 2030 compared to 2021 production levels and investing in additional infrastructure to meet the large and growing domestic demand and to displace oil in power generation.

The inauguration ceremony.

Mitsubishi Power has inaugurated its first-ever JAC gas turbine assembled in Saudi Arabia at its Dammam Assembly Facility, coinciding with its 60th anniversary of operations in the Kingdom

The first state-of-the-art M501JAC gas turbine will be delivered to the 475 megawatts (MW) Amiral Cogeneration Plant in Jubail, Eastern Province, which will supply electricity and steam to the Saudi Aramco Total Refining and Petrochemical Company (SATORP) strategic petrochemical complex. The SATORP strategic petrochemical complex is expected to house one of the largest mixed-load steam crackers in the Gulf.

At the Dammam Assembly Facility, Mitsubishi Power assembles heavy duty gas turbines, including the state-of-the-art M501JAC. The facility plays a key role in advancing localisation while positioning the Kingdom as a regional hub for advanced power generation solutions and advancing Saudi Vision 2030 objectives.

The successful assembly of the turbine is supported by Mitsubishi Power’s Saudi National Program, which equips Saudi nationals with advanced technical expertise for the energy sector. Thanks to the programme, over 50% of Mitsubishi Power employees in Saudi Arabia are Saudi nationals, both male and female. They gain advanced technical skills for the energy sector through on-the-job training and knowledge exchange programmes both in Saudi Arabia and in Japan.

His Royal Highness Prince Saud bin Bandar bin Abdulaziz, Deputy Governor of the Eastern Province was in attendance at the inauguration, as was the Deputy Chief of Mission of the Japanese Embassy to the Kingdom of Saudi Arabia, Minister Masahiro Tada.

“We are deeply honoured by the presence of His Royal Highness Prince Saud bin Bandar bin Abdulaziz, Deputy Governor of the Eastern Province at this ceremony, to inaugurate our first JAC gas turbine assembled in Saudi Arabia. Our gas turbines, assembled here at our Dammam Assembly Facility, will play a pivotal role in supporting the Kingdom’s ambition to accelerate economic growth and achieve its decarbonisation goals, in line with Saudi Vision 2030,” commented Takao Tsukui, president and CEO, Mitsubishi Power, Ltd.

“As we celebrate 60 years of partnership in the Kingdom, this milestone reflects our enduring commitment to Saudi Arabia, enhancing localisation, empowering Saudi talent, and delivering our most advanced technologies to support the Kingdom’s energy transition and industrial development.”.

Mitsubishi Power began operations in Saudi Arabia with its first supply of boilers to Aramco in Abqaiq in 1965 and has since been active in power projects with major utilities and industrial companies in the Kingdom.

The KM250 will add 250 mn standard cu/ft per day of new processing capacity.

Middle East-based natural gas company, Dana Gas PJSC, and exploration and production company, Crescent Petroleum, have started commercial gas sales from the KM250 gas expansion project (KM250) at the Khor Mor facility in the Kurdistan Region of Iraq 

The KM250 will add 250 mn standard cu/ft per day of new processing capacity, a 50% increase, boosting Khor Mor’s total output to 750 mn stamndard cu/ft per day. This can support Iraq’s burgeoning power demand by delivering significant new volumes of clean-burning natural gas.

The US$1.1bn project was backed by financing from the Bank of Sharjah, the US Development Finance Corporation (DFC), and proceeds from Pearl Petroleum’s US$350mn senior secured bond issued in 2024 and listed on Nordic Alternative Bond Market. The project generated employment for more than 10,000 people and involved the delivery of more than 6,000 tonnes of steel and 6.2 mn man-hours, making it one of the largest private-sector infrastructure builds in Iraq in recent years.

Majid Jafar, CEO of Crescent Petroleum and board managing director of Dana Gas, said, “Delivering KM250 ahead of schedule marks a significant achievement for Crescent Petroleum, Dana Gas, and our Pearl Consortium partners. This accomplishment highlights our ongoing dedication to the Kurdistan Region of Iraq, demonstrates our capacity to unlock its vast energy resources, and reinforces our commitment to generating jobs, enhancing local services, and providing cleaner, more reliable energy for the Region and the Country.”

“I am especially grateful for the strong support of the KRG and local authorities, whose cooperation helped us overcome challenges and sustain momentum throughout the project. I would also like to recognise the outstanding leadership of Richard Hall, CEO of Dana Gas, who navigated the complex dynamics and guided the project to successful completion eight months ahead of schedule.”

Richard Hall, CEO, Dana Gas, said, “Completing KM250 early is a huge milestone for Dana Gas and reflects the hands-on approach we brought to the project in the absence of the main contractor. By assuming operational oversight, Dana Gas and Crescent Petroleum were able to focus delivery, resolve issues quickly, and restore momentum – yielding real results on the ground.

“The additional capacity strengthens our production profile and is expected to deliver substantial annual revenue for Dana Gas. It also supports our mission to deliver stable, cleaner energy to KRI communities, reduce diesel dependence and advance the region’s ambition for 24-hour electrification.”