Exports of liquefied natural gas from the United States are on track to book a 40% annual increase this month, hitting 10.7 million tons, projections from Kpler have shown, as cited by Bloomberg.
An ample supply of liquefied gas has already pushed natural gas prices down in Europe, with prices reaching the lowest in over a year earlier this week, even as the weather gets colder as winter advances. According to Bloomberg, prices could fall further in the coming months, even though winter is peak demand season, all thanks to the abundance of U.S. liquefied gas.
The United States turned into the world’s largest exporter of LNG in a matter of years as energy companies raced to build new liquefaction trains along the Gulf Coast in response to the surge in demand for a lower-emission alternative to coal. Last month, the U.S. became the first country to export 10 million tons of liquefied gas in a single month, enjoying solid demand from Europe, which earlier this year signed a commitment to buy significant volumes of both LNG and oil to get President Trump to lower tariffs.
Earlier this month, Reuters reported that the United States had become the first country to export 10 million tons of liquefied natural gas in a single month. Citing data from LSEG, the publication reported that U.S. LNG exports in October had hit 10.1 million tons, of which 6.9 million tons went to Europe, and another 1.96 million tons went to Asia. Europe accounted for 69% of total U.S. exports of liquefied gas, cementing the continent’s top spot among U.S. LNG clients.
As for the source of the LNG, two companies accounted for over two-thirds of the total exports: Cheniere Energy and Venture Global. The two sold 72% of the 10.1 million tons of LNG that the country exported last month.
By Irina Slav for Oilprice.com
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