State and local officials joined Woodside Energy this week to break ground on Louisiana LNG, a $17.5 billion liquefied natural gas export facility in Calcasieu Parish. The project represents the largest foreign direct investment in Louisiana’s history and underscores the Gulf Coast’s position as the epicenter of U.S. LNG exports.
Haynesville Oil & Gas Operator Account Directory – $10
Includes: Account Name, Location, Phone, Website, Wells Drilled….
Governor Jeff Landry called it “an unbelievable day for Louisiana and the country,” while Woodside CEO Meg O’Neill described the facility as a transformational step for the company’s global ambitions. Once operational in 2029, Louisiana LNG is expected to export 16.5 million metric tons per year (mtpa) of LNG, with the potential to grow capacity to 27 mtpa. That alone would account for more than 5% of global LNG supply, making Woodside one of the largest LNG players in the world.
The project is projected to generate $2 billion annually in net revenue and create 15,000 direct jobs plus another 40,000 indirect positions nationwide. At the same time, Louisiana LNG is being built in a foreign trade zone, giving it tax advantages while strengthening the state’s dominance in LNG exports—Louisiana already accounts for more than 60% of all U.S. LNG shipments.
Haynesville: The Supply Side of the Story
Louisiana LNG’s future hinges on reliable feed gas supply, and much of that supply will come from the Haynesville Shale in northern Louisiana and East Texas. Recent drilling activity data tells an important story:
Spud Activity Trends (2023–2025)
- Record Counts by Year
- 2023: 702 wells spudded
- 2024: 436 wells spudded
- 2025: 367 wells spudded (YTD)
This shows a clear pullback from peak activity in 2023, reflecting the challenges of balancing drilling costs with natural gas prices that have faced persistent volatility.
- Unique Contractor & Rig Counts by Year
- 2023: 102 rigs
- 2024: 59 rigs
- 2025: 58 rigs
The sharp decline in unique rigs suggests that operators are consolidating activity, working more closely with fewer contractors and reusing rigs for longer drilling campaigns. This reflects both capital discipline and a focus on efficiency rather than chasing raw production growth.
Takeaways and Forward-Looking Predictions
- Efficiency Over Expansion: The Haynesville is maturing into a basin where scale and capital efficiency outweigh sheer activity volume. Operators are increasingly stretching each rig further with longer laterals, faster spud-to-completion times, and pad-based drilling strategies.
- LNG as a Demand Anchor: With Louisiana LNG and other Gulf Coast projects under construction, the Haynesville will remain a strategic feedstock supplier. Even though drilling slowed after 2023, the basin’s proximity to LNG export terminals makes it one of the most advantaged U.S. gas plays.
- Prediction – The Next Phase of Drilling: Expect Haynesville drilling activity to stabilize around 350–400 wells per year through the second half of the decade. Rig counts may remain flat, but efficiency gains will offset volume declines, ensuring steady production. By 2027–2029, as Louisiana LNG ramps up, spud activity could see a renewed uplift, driven by long-term export contracts that underpin drilling economics.
Conclusion
The groundbreaking of Louisiana LNG marks a watershed moment for U.S. energy exports, tying Louisiana’s future more closely than ever to the global gas market. For the Haynesville, it signals that even as operators drill fewer wells with fewer rigs, the basin will remain indispensable to meeting surging LNG demand.
In short: Louisiana LNG is the demand engine, and Haynesville is the supply backbone. Together, they define the next chapter of North American natural gas.
