Natural gas was the United States' largest source of energy production in 2016, representing 33 percent of all energy produced in the country.[1] Natural gas has been the largest source of electrical generation in the United States since July 2015.
In 2012, the United States produced 25.3 trillion cubic feet of marketed natural gas, with an average wellhead value of $2.66 per thousand cubic feet, for a total wellhead value of $67.3 billion.[2] In 2013, the country produced 30.0 trillion cubic feet (TCF) of marketed gas.[3] With 7,545 billion cubic feet (BCF), the leading gas-producing area in the United States in 2013 was Texas, followed by Pennsylvania (3,259 BCF), and Louisiana (2,407 BCF).[4] US natural gas production achieved new record highs for each year from 2011 through 2015. Marketed natural gas production in 2015 was 28.8 trillion cubic feet, a 5.4 percent increase over 2014, and a 52 percent increase over the production of 18.9 trillion cubic feet in 2005.[5] The natural gas industry includes exploration for, production, processing, transportation, storage, and marketing of natural gas and natural gas liquids.[6] The exploration for and production of natural gas and petroleum form a single industry, and many wells produce both oil and gas.
Because of the greater supply, consumer prices for natural gas are significantly lower in the United States than in Europe and Japan.[7] The low price of natural gas, together with its smaller carbon footprint compared to coal, has encouraged a rapid growth in electricity generated from natural gas.
Between 2005 and 2014, US production of natural gas liquids (NGLs) increased 70 percent, from 1.74 million barrels per day in 2005 to 2.96 million barrels per day in 2014.
Although the United States leads the world in natural gas production, it is only fifth in proved reserves of natural gas, behind Russia, Iran, Qatar, and Turkmenistan.