The United States gas and LNG market has been growing at an astonishing rate in recent years. With many noting that the expansion has been a result of the current administration’s approach to the oil and gas market, the reality is that energy companies like Energy Transfer have boosted the output capacity for the US gas market through several pipelines designed to feed natural gas from the Permian to the Southwest.
Energy Transfer advances its latest natural gas pipeline in the Permian Basin
The Permian Basin has stood for decades as the backbone of the US gas and oil market, with a myriad of the largest energy companies in the world all heading down to the Permian to set up operations and benefit from the continued growth of the US market under the current administration.
The latest plan is to expand the already essential Transwestern pipeline and rename it the Desert Southwest Pipeline. The pipeline will expand the company’s operations in the US and pave the way for Energy Transfer to lead the market in output capacity and transport of essential gas and LNG to the American market.
The company expects the expansion of the pipeline to meet the ever-growing and intensifying demand for natural gas in the United States, driven by population growth and new data centres popping up to support the AI race in the nation.
A new year brings a wide range of expansion opportunities for the US market
Energy Transfer has been operating the already notable Transwestern pipeline for decades, and due to the rapid demand for gas to meet the growing market in the US and further afield, the company would need to ramp up operations in the Permian Basin, hence the expansion and creation of the Desert Southwest pipeline.
The US energy market has been boosted by the new sentiment of the current President
Energy Transfer must be counting its lucky stars at the moment, along with the litany of US energy companies that operate in the Permian basin and other massive energy resource-rich regions of the US. The company is perfectly positioned to take full advantage of the new approach to oil and gas production led by the President.
Since taking office for his second and last term, Donald Trump has been on an approving spree. The President has been actively advancing the output of oil and gas in the US by incentivising projects and rolling back any permitting hurdles that operators may face.
“The people of the United States don’t recognize it, but the oil industry has given the greatest gift to the people of the nation, and that gift is the low cost of energy. Bottom line is this enables the country to be very competitive manufacturing-wise and in the world economy.” – Ray Lee Hunt
Energy Transfer will continue its expansion plans for the latest Permian basin gas pipeline and potentially set the stage for the United States to continue to dominate the global gas market. Energy Transfer also has the Hugh Brinson pipeline in the works, which will boost the company’s gas portfolio along with the new Desert Southwest Pipeline.
2026 will see the US expand its vice grip on the global gas market
The United States recently overtook China to become the number one oil and gas producer in the world, no doubt a direct result of the new approach to gas and oil production undertaken by the current administration. The Permian Basin will stand as the cornerstone of the market for decades to come, especially as new pipelines are completed over the coming year and further along the project timeline.
