Maintenance at U.S. liquefied natural gas (LNG) plants caused exports to fall in May, dropping to 8.9 million metric tons from a record 9.3 million tons in April.
Data from LSEG, reported by Reuters, showed that Cheniere Energy’s Sabine Pass plant—the largest LNG facility in the country—ran at its lowest level in two years because of maintenance work.
In May, Europe received the largest share of U.S. LNG exports, taking 6.05 million tons or 68% of the total. Asia accounted for 1.88 million tons, about 21% of the shipments.
Earlier this month, the International Group of Liquefied Natural Gas Importers warned that LNG demand remains uncertain. Its president said that while long-term prospects are strong, short- and medium-term demand is hard to predict due to volatile prices, geopolitical tensions, and uneven economic recoveries in Asia.
Despite these concerns, U.S. LNG producers remain optimistic and are preparing for increased output later this year. Cheniere plans to start four of seven new trains at its Corpus Christi plant. Venture Global is finishing construction at its Plaquemines plant, and Golden Pass LNG is about to begin production.
Looking ahead, more LNG export capacity is coming. Sempra Energy recently received federal approval to start exports from its Port Arthur LNG Phase 2 facility in Texas, which is under construction. The permit allows for 13.5 million tons annually.
With this addition, the current administration has authorized new LNG exports averaging 11.45 billion cubic feet of natural gas per day.
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