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US LNG Exports Surge as Battery Storage Faces Regulatory Hurdles, RBC Says

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US natural gas exports are accelerating at the fastest pace in a decade, supported by expanding domestic infrastructure and global supply disruptions, even as the country's booming clean energy sector braces for regulatory turbulence, RBC Capital Markets strategists said in a Thursday note.

RBC analysts said that LNG feedgas demand has averaged 19.3 billion cubic feet per day over the past five days, above its 30-day moving average of 18.2 Bcf/d, as renewed strikes in the Strait of Hormuz keep Qatari LNG supplies largely off the market.

The rebound comes as a new wave of US LNG capacity is set to strengthen the country's position as a major global gas supplier.

RBC said that US LNG exports rose 23% in H1 2026 from a year earlier, their fastest rate of growth since 2016, as new terminals and expansions lifted export capacity.

Golden Pass LNG, a joint venture between Exxon Mobil (XOM) and QatarEnergy, has continued an uneven ramp-up that began in the spring, while the seventh and final train of the Corpus Christi Stage 3 project reached substantial completion on Aug. 28.

RBC said that those developments are forecasted to bring total US LNG export capacity to about 20 Bcf/d by the end of 2026.

RBC said a further 7.5 Bcf/d of export capacity is projected to come online over the following two years. The expansion is projected to support demand for US natural gas while adding to global LNG supplies as producers seek to fill gaps left by disrupted flows.

Meanwhile, US grid-scale battery storage deployments reached a record of about 5 gigawatts in Q2 2026, but the sector could face near-term challenges from new restrictions targeting Chinese-linked electrical equipment.

Last week, President Trump signed an executive order prohibiting certain acquisitions, imports, transfers and installations of bulk-power-system equipment linked to covered foreign entities, with China and Hong Kong among the most relevant jurisdictions.

The order could affect some equipment already acquired or installed before Aug. 26, RBC analysts said, raising the prospect of delays for energy-storage projects until the government issues further guidance.

The uncertainty comes as the US seeks to expand domestic battery manufacturing and reduce dependence on Chinese supply chains.

RBC strategists said "near-term headaches" loom, but noted that previous investments in domestic manufacturing could allow the battery sector to continue its expansion.

Price: $163.11, Change: $-1.04, Percent Change: -0.63%

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