US natural gas futures fell to around $3 per MMBtu, remaining in a tight range, as investors weighed regional oversupply against tightening global markets amid the Iran war. Rising oil output driven by US-Iran tensions has boosted associated gas production in the Permian Basin, a region accounting for about a quarter of US supply, but limited infrastructure has created a local glut, forcing increased flaring. Meanwhile, global LNG exports dropped to a six-month low, highlighting the divide in supply conditions. Shipments fell about 20% to 1.1 million tons, mainly from Qatar and, to a lesser extent, the UAE, as the Strait of Hormuz was disrupted. Escalating tensions with Iran forced shutdowns at Qatar’s Ras Laffan facility, the world’s largest LNG plant, with repairs expected to take years. As a result, recent supply additions from new US and Canadian projects have been nearly offset by losses from Qatar and the near-closure of the passageway.
