What a difference a decade makes. Just over 10 years ago, the benefits of the Shale Revolution were limited to North America. Of the nearly 1,800 billion cubic feet (Bcf) of natural gas the U.S. exported in 2015, 1,755 Bcf went via pipeline to Mexico and Canada. Liquefied natural gas (LNG) exports overseas encompassed only 28 Bcf — down 22% from the average of the previous five years — a mere blip in global energy trade. Natural gas’s use in the electric power sector grew without any declines elsewhere, and net imports were 934 Bcf.
Before the Shale Revolution, the prospect of exporting American LNG seemed farcical at best and suicidal at worst. In 2005, natural gas prices hit historically high levels, worsened by Hurricanes Rita and Katrina, raising electricity prices by 10.7%, compared to a 2.1% increase in 2004. In the face of these increases, the Department of Energy preached “[e]ffective conservation” through consumer awareness of natural gas prices, and Bill Cooper, president of the Center for LNG, joined the organization with the goal of forwarding LNG imports in the United States. The idea of American natural gas abundance seemed like a pipe dream, and the 20th-century problems with shortages and dependence persisted into the 21st century.
The situation changed when producers began tapping deeper into American natural gas reserves, due to new technologies such as hydraulic fracturing and horizontal drilling. U.S. natural gas production increased from 19 Tcf in 2005 to almost 29 Tcf in 2015. In a 2013 interview with OilPrice, Cooper foresaw the upcoming boom of LNG exports. “Now, the United States has an abundance of natural gas and is looking for additional markets to create jobs, generate new tax revenues, especially for state and local governments, and to help our geopolitical allies with their energy needs,” said Cooper. “LNG exports represent a tremendous opportunity to create thousands of new American jobs by bringing billions of dollars of investments into the U.S. economy.”
With domestic gas trading at a 17-year low, Cheniere Energy was the first to seize the opportunity on February 24, 2016. On this day, the company exported the first cargo of LNG from a lower-48 state at its Sabine Pass facility in Louisiana, which was originally built for imports, to Brazil. The pass was chosen for its depth: it is a 40-foot-deep channel on the Texas-Louisiana border, one of the few along the Gulf Coast capable of handling LNG carriers. Sabine Pass was outfitted to serve as one of the world’s largest LNG receiving terminals at the time, with insulated storage tanks, marine berths, and a vaporization system capable of converting four Bcf of imported liquefied gas into pipeline fuel daily. When Cheniere converted the terminal for export, it added liquefaction trains that draw domestic shale gas from the interstate pipeline network, treat it for contaminants, and supercool it to -260°F — shrinking it to one six-hundredth of its volume for ocean transit.
Fast forward to today, and we just celebrated the 10th anniversary of this first LNG export. The U.S. is the world’s largest LNG exporter, having exported over 27 Tcf and currently exporting an average of 16 Bcf per day. Eight facilities are currently operational — three in Louisiana, two in Texas, and one in Alaska, Georgia, and Maryland — with another eight approved by the Federal Energy Regulatory Commission and under construction. These facilities will contribute to an expected doubling of export capacity by 2031. In 2025, the U.S. exported LNG to 44 countries, keeping industry fueled and prices in check worldwide.
The global benefits of American LNG range from greater supply chain security to lower greenhouse gas emissions. U.S. LNG helped wean Europe off Russian gas after it invaded Ukraine, with exports increasing fourfold from 2021 to 2025. According to Wood Mackenzie, U.S. LNG lifecycle emissions are typically around 48% of the coal equivalent, thanks to its lower methane intensity and more efficient technologies at liquefaction projects and on vessels. As we point out in the 2026 Environmental Quality Index, the U.S. can produce significant quantities of natural gas while upholding high standards for environmental quality and human freedom. By incentivizing more domestic production, growing LNG exports replace natural gas produced by countries with worse standards.
In only 10 years, American industry transformed LNG from a footnote in export reports to an essential international product. The ingenuity of Cheniere and its willingness to adapt to changing circumstances represent the entrepreneurial greatness that defines American industry and has contributed to our current level of prosperity. For starting the transformation of the U.S. into a natural gas-exporting powerhouse, the first LNG export deserves recognition as an American energy moment.
