Growing domestic and export demand for Permian’s natural gas is driving new pipeline investment in the U.S. Gulf Coast. Chemical, manufacturing, data centers, and booming LNG exports are fueling the need for increased capacity. Twelve new gas pipeline projects are set to boost capacity by 13% in the region.

A total of $50 billion worth of investments in new gas pipelines is expected to add 8,800 miles of pipeline in the U.S. The surge in U.S. natural gas supply and demand, coupled with a favorable regulatory environment, is driving this unprecedented expansion.

The surge in U.S. LNG exports, increasing electricity demand, and booming oil production in the Permian are creating a need for more pipeline capacity. Prices at the Waha gas hub have crashed into negative territory due to limited pipeline capacity to transport gas to demand centers.

Pipeline development is being led by LNG exporters, utilities, and data centers, unlike previous cycles. Demand from these sectors is driving new pipeline investment to meet growing needs. U.S. LNG exports are on the rise, with more projects expected to start up by the end of the decade.

ExxonMobil has agreed to buy a stake in a new pipeline to expand gas takeaway capacity in the Permian basin. TC Energy expects North American natural gas demand to surge in the medium to long term, driven by increasing U.S. LNG exports and power demand from data centers.

Read more at Yahoo Finance: Permian Gas Wave Sparks Biggest Pipeline Buildout Since the Shale Boom