As of March 4, 2025, the Energy Information Administration (EIA) found that the number of rigs deployed to drill for natural gas in the United States decreased over the last two years. [1] US natural-gas directed rigs decreased 32% between December 2022 and December 2024, a decline that has been concentrated in natural gas-rich Haynesville and Appalachia regions. The decline coincides with record-low natural gas prices for most of 2024 and the wider adoption of advanced drilling and completion technologies. The extent to which producers respond to price changes depends on factors such as uncertainty around future prices, contracts, volatility in the market, and price hedging; the current costs of materials, equipment and labor; and availability of transportation and storage. Producers in natural gas-rich regions have responded to these persistently low prices by drilling less and by curtailing production, which has grown the inventories of drilled but uncompleted wells. If natural gas demand and prices continue to rise, producers could be better positioned to complete these wells and increase production quickly.
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