U.S. Natural Gas Set for Boom

by Jay Young | Investing, Oil & Gas, Tax Savings, Taxes, The Upside

Natural Gas Tanks In Oil Refinery Against Clear Sky

Newsletter No. 108

Good afternoon,

It’s Thursday, March 20, 2025, and in this edition of The Upside we’ll cover the latest news from the oil and gas industry, along with important news from King. As always, I hope to keep you up to date on the trends shaping our industry. Thanks for reading.

This Week's Headlines

Inside the World of Landmen: Real vs. Fiction on The Jay Young Show
If You Missed It: Why Oil & Gas Investing Webinar Featuring John Mauldin
U.S. Natural Gas Set for Boom as Prices Surge and Production Rises
Exxon’s Dan Ammann Positive About LNG and Permian Oil Growth
Research Shows European ESG Funds Backing Fossil Fuel Companies
APA's Apache Finds Oil on Alaska's North Slope
Partners Group to Buy California Gas Power Plants for $2.2B

Ep. 165: Inside the World of Landmen: Real vs. Fiction with Aaron Ledyard

HAPPENING AT KING

Inside the World of Landmen: Real vs. Fiction on The Jay Young Show
Catch the newest episode of The Jay Young Show. My co-host, Jordan Soto, and I sat down with Aaron Ledyard, a seasoned landman with over 20 years of experience in the oil and gas industry. Aaron shares valuable insights into the critical role of landmen, their daily responsibilities, and how technology has transformed their work. We dive into the Landman TV show on Paramount Plus and discuss how its fictional portrayal compares to the real-life landman experience. Subscribe to us on YouTube or Rumble. You can also listen on Spotify, iTunes or wherever you listen to podcasts.

If You Missed It: Why Oil & Gas Investing Webinar Featuring John Mauldin
King recently held a webinar, featuring King's Chief Economist giving insights into Why Oil & Gas Investing. If you would like to watch the recording of this webinar, and are an accredited investor, please fill out and submit this form and we will email you the link to the recording.

If you'd like to talk to someone about King and are an accredited investor, you can fill out your information here or schedule a Zoom conversation with one of our SVPs here and someone will reach out.

Oil & Gas News

U.S. Natural Gas Set for Boom as Prices Surge and Production Rises

U.S. natural gas prices have more than doubled in the past year, fueling a production boom. After a cold winter and lower inventories, the price of natural gas has surged, prompting producers to ramp up output. With increasing demand for heating, power generation, and LNG exports, producers are expected to boost production through 2025 and 2026. The U.S. Energy Information Administration forecasts a 2% rise in natural gas production in the coming years, driven by higher prices and new export facilities. Additionally, new pipeline projects will help move more gas to demand centers, further supporting the market’s growth. Check out the graphic below and you can also see the most up-to-date numbers on natural gas prices here.

Exxon’s Dan Ammann Positive About LNG and Permian Oil Growth

Dan Ammann, Exxon’s new leader for oil operations, is excited about the future of liquefied natural gas (LNG) and plans to grow it significantly in the coming years. He also talked about how Exxon is improving oil production in the Permian Basin using new technology, like longer drilling techniques. Exxon aims to increase its oil output in the area by 2030 and double its LNG business by 2027.

Research Shows European ESG Funds Backing Fossil Fuel Companies

A study by NGOs Urgewald and Facing Finance found that European ESG (environmental, social, and governance) funds have invested $134 billion in companies that are expanding fossil fuel projects. Despite being marketed as environmentally friendly, many of these funds support major oil and gas companies like ExxonMobil and Shell. The report says this is a case of "greenwashing," where funds falsely appear sustainable, tricking investors into unknowingly supporting fossil fuel growth.

APA's Apache Finds Oil on Alaska's North Slope

APA Corp. and its partners, Lagniappe Alaska and Oil Search, have discovered oil with their Sockeye-2 well on Alaska's North Slope. The well, drilled 10,500 feet deep, showed good oil quality with a strong flow potential. This is the second successful oil find in the area, giving the team confidence for future drilling. The partners are excited about the potential of the region for more oil discoveries.

Move to Watch

Partners Group to Buy California Gas Power Plants for $2.2B
Partners Group is buying 11 natural gas power plants and battery storage systems in California from Avenue Capital Group for $2.2 billion. The plants, managed by Middle River, provide backup power and are important for meeting energy needs, especially with the growth of data centers. This deal shows how natural gas continues to play a key role in the energy market as California moves toward cleaner energy sources.

Thank you for your continued support, and if you have any questions for myself or any member of the King team, please don't hesitate to reach out to us.

All the best,

Jay