On the last day of 2024, U.S. natural gas demand from liquefied natural gas (LNG) plants soared to a record 15.2 billion cubic feet per day (bcfd), highlighting the sector's robust growth trajectory. Preliminary data from financial firm LSEG reflect the commissioning of two new gas-processing plants—Venture Global LNG’s Plaquemines plant in Louisiana and Cheniere Energy’s Corpus Christi Stage 3 expansion in Texas.

LNG feedgas demand is projected to climb even higher in 2025, reaching 17.8 bcfd. The United State’s position as the largest global exporter of LNG further supports this upward trend, meeting the surging demand from Europe and Asia.

The initiation of additional projects, such as Golden Pass LNG — a joint venture between QatarEnergy and Exxon Mobil Corporation XOM — will likely push the demand to 20.3 bcfd by 2026 and 24.2 bcfd by 2028, according to data released by the U.S. Energy Information Administration.

Drivers of Rising LNG Demand

Analysts attribute the record-setting demand to several factors. The startup of the Plaquemines and Corpus Christi projects is a major contributor, alongside seasonal efficiency gains in colder months. Increased global reliance on U.S. LNG, especially from Europe seeking alternatives to Russian gas and Asia’s growing energy needs, has amplified export requirements.

This surge in demand is also influencing domestic gas prices. Earlier this week, natural gas booked the largest daily percentage gain in nearly three years, reaching close to $4 per million cubic feet (mcf). Higher feedgas demand and new capacity additions are expected to support further price increases, boosting revenues for U.S. LNG producers and midstream operators.

Stocks Poised to Benefit

Given this backdrop, several LNG-focused stocks are well-positioned for growth. We have identified three U.S. energy companies that stand to gain significantly from these dynamics. These are NextDecade Corporation NEXT, Cheniere Energy, Inc. LNG and ExxonMobil. While NextDecacde sports a Zacks Rank #1 (Strong Buy) at present, Cheniere Energy and ExxonMobil carry a Zacks Rank #3 (Hold) each. You can see the complete list of today’s Zacks #1 Rank stocks here.

NextDecade is an emerging player in the LNG space with its Rio Grande LNG project in Texas. As demand for LNG continues to grow, NextDecade’s strategic investments in infrastructure and its planned liquefaction capacity provide strong upside potential. With the global LNG market expanding, NextDecade is well-positioned to tap into the increasing export demand from the United States.

NEXT currently has a market capitalization of around $2.01 billion, with its shares soaring 69.8% over the past year.

As the largest U.S. LNG exporter, Cheniere Energy stands to benefit significantly from rising feedgas demand. The recent completion of its Corpus Christi Stage 3 expansion enhances its export capacity, aligning with the sector’s growth trajectory. Cheniere’s established presence and operational expertise make it a leading candidate to capture value from higher export volumes and improved pricing.

LNG currently has a market capitalization of around $48.2 billion, with its shares having climbed 26.9% over the past year.

ExxonMobil’s involvement in the Golden Pass LNG project, slated for commissioning in late 2025 or early 2026, provides a strong growth avenue. As a major energy player with diversified operations, ExxonMobil is uniquely positioned to leverage LNG market trends while mitigating risks through its broader portfolio.

XOM has a current market capitalization of approximately $472.8 billion. Its shares have risen 4.2% over the past year.

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