Wood Mackenzie Predicts End of Low Henry Hub Gas Prices by 2035
Wood Mackenzie forecasts Henry Hub natural gas prices will rise to $5 per MMBtu by 2035, ending a decade of low prices. This shift is driven by increased demand from the power sector and challenges in expanding supply capacity.
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Henry Hub natural gas prices are expected to approach $5 per million British thermal units (MMBtu) by 2035, as Wood Mackenzie warns the era of low prices is concluding. The primary driver of new demand is the power sector, which is projected to require an additional 17 billion cubic feet per day by the mid-2030s, almost a 50% increase from 2025 levels.
Investment in U.S. LNG export capacity reached record highs in 2025, with further projects anticipated to finalize in 2026. As the best U.S. gas reserves are in production, remaining resources will be more challenging and costly to extract, necessitating higher prices to stimulate growth in supply. This trend may lead to increased volatility in gas prices as the power sector increasingly relies on natural gas.
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