EIA: US becomes world’s largest LNG exporter in the first half of 2022

According to EIA’s estimates, installed US LNG export capacity has expanded by 1.9 billion ft³/d nominal (2.1 billion ft³/d peak) since November 2021. The capacity additions included a sixth train at the Sabine Pass LNG, 18 new mid scale liquefaction trains at the Calcasieu Pass LNG, and increased LNG production capacity at Sabine Pass and Corpus Christi LNG facilities. As of July 2022, EIA estimates that US LNG liquefaction capacity averaged 11.4 billion ft³/d, with a shorter-term peak capacity of 13.9 billion ft³/d.

International natural gas and LNG prices hit record highs in the 4Q21 and 1H22, according to the EIA. Prices at the Title Transfer Facility (TTF) in the Netherlands have been trading at record highs since October 2021. TTF averages US$30.94/million Btu during 1H22. LNG spot prices in Asia have also been high, averaging US$29.50/million Btu during the same period.

Since the end of 2021, countries in Europe have increasingly imported more LNG to compensate for lower pipeline imports from Russia and to fill historically low natural gas storage inventories. LNG imports in the EU and UK increased by 63% during 1H22 to average 14.8 billion ft³/d, according to EIA.

Most US LNG exports went to the EU and the UK during the first five months of this year, accounting for 64%, or 7.3 billion ft³/d, of the total US LNG exports. Similar to 2021, the US sent the most LNG to the EU and UK during 1H22, providing 47% of the 14.8 billion ft³/d of Europe’s total LNG imports, followed by Qatar at 15%, Russia at 14%, and four African countries combined at 17%.

In June, the US exported 11% less LNG than the 11.4 billion ft³/d average exports during the first five months of 2022, mainly as a result of an unplanned outage at the Freeport LNG export facility. Freeport LNG is expected to resume partial liquefaction operations in early October 2022.

Utilisation of the peak capacity at the seven US LNG export facilities average 87% during 1H22, mainly before the Freeport LNG outage, which is similar to the utilisation on average during 2021.

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/29072022/eia-us-becomes-worlds-largest-lng-exporter-in-the-first-half-of-2022/