This Instant Insight examines how AI-driven growth in data centers could reshape global natural gas demand by 2030. Drawing on recent estimates from institutions such as the IEA, Goldman Sachs, and McKinsey, the author calculates the corresponding natural gas requirements under different electricity supply scenarios. The analysis finds that while projections remain uncertain, data centers could add at least 47 bcm of gas demand in a conservative case, rising to 130–270 bcm if gas captures a larger share of electricity supply. The paper argues that natural gas is well positioned to meet this emerging demand due to its reliability, relatively fast deployment, cost competitiveness, and suitability for on-site or hybrid generation amid grid constraints and slow renewable expansion. The implications for global gas markets could range from marginal to highly significant, depending on deployment speed, infrastructure bottlenecks, and regional gas availability. Countries with abundant and competitively priced gas—such as the United States, Australia, China, and potentially Saudi Arabia—may gain a strategic advantage as AI-driven energy demand accelerates and new data center hubs emerge.
