January 20, 2025 [Storage Terminals Magazine]- The rapid expansion of artificial intelligence and data centres is driving a surge in natural gas demand, creating significant opportunities for infrastructure and energy providers. Energy Transfer, a leading player in the energy sector, is well-positioned to benefit from this trend, according to co-CEO Tom Long, who spoke during the company’s third-quarter earnings call.

Energy Transfer has observed a sharp increase in requests for natural gas connections from power plants and data centres across the United States. The company is currently evaluating requests from approximately 45 power plants in 11 states and over 40 potential data centres in 10 states.

With a vast network of interstate and intrastate natural gas pipelines, Energy Transfer’s infrastructure spans key regions, enabling it to meet rising demand effectively. The company already serves gas-fired power plants in 15 states, with approximately 185 plants connected either directly or indirectly.

Tom Long highlighted the unprecedented level of demand pull:
“We have never seen this level of activity from a demand pull standpoint, and these opportunities are truly spread across our natural gas footprint from Arizona to Florida and from Texas to Michigan.”

Energy Transfer’s strategic positioning allows it to supply natural gas to critical sectors such as AI and data centres, natural gas power plants, industrial operations, and onshore manufacturing facilities. This demand is expected to drive growth for decades to come.

The company continues to expand its capabilities to serve this growing market, underscoring its role as a key enabler of the AI-driven and data-centric economy. As industries increasingly rely on natural gas for power generation and operational stability, Energy Transfer is set to play a pivotal role in supporting the energy transition while meeting evolving market needs.