CNG/LNG

Cheniere Energy, Inc., the largest exporter of LNG in the U.S., announced two new agreements yesterday to sell more LNG to Europe. The first (and foremost) agreement is with ARC Resources, one of Canada’s largest natural gas producers, to sell 140,000 MMBtu per day (140 MMcf/d) of natural gas to SPL Stage 5 for a term of 15 years, commencing with commercial operations of the first train (“Train 7”) of the Sabine Pass Liquefaction Expansion Project. Yes, Canadian molecules will travel all the way to the Louisiana Gulf Coast to be liquefied and exported.
Read More “Cheniere Cuts 2 New Deals to Sell More Sabine Pass LNG to Europe”

An increasingly important market for U.S. natural gas, especially gas coming from the Marcellus/Utica, is LNG exports. The gas that flows to LNG export plants feeding the plants so they can liquefy and export it, is called feedgas. The U.S. hit an all-time high of 13.5 billion cubic feet per day (Bcf/d) of feedgas flowing to LNG facilities in April of this year. Then exports slowed over the summer. However, as we recently reported, LNG cargo shipments picked up again in October, tying the all-time high of cargoes sent in a single month (see U.S. LNG Exports Tie All-Time High in October with 110 Cargoes). RBN Energy is now reporting that U.S. feedgas volumes for November will, when the month is done, hit a brand new, all-time high of 13.8 Bcf/d.
Read More “U.S. LNG Feedgas Demand Hits All-Time High in November”

Venture Global’s Calcasieu Pass LNG export facility recently received Federal Energy Regulatory Committee (FERC) authorization to place the final three liquefaction blocks (7-9) into service (see Venture Global Gets FERC OK to Commission 3 Calcasieu Pass Trains). The other trains, 1-6, have been online for 18 months but are not officially in commercial service, even though the facility has now shipped over 200 cargoes! Venture Global claims it’s still working out the kinks. Venture’s contracted customers are frustrated that they aren’t getting any shipments and have sued (see Repsol Joins Shell, BP in Suing Venture Global for Missed LNG). With breathtaking chutzpah, Venture Global recently said the facility will not officially be online for commercial service until the fourth quarter of 2024.
Read More “Venture Global LNG Keeping Up “Not-Ready” Farce Until Late 2024″

Watch out Marcellus/Utica, and Haynesville, and Permian, and Eagle Ford, and Bakken, and SCOOP/STACK, and other major U.S. shale plays. You may have a new competitor coming (way) south of the border. Argentina has just elected a new President, Javier Milei, who promises to unleash his country’s oil and gas industry. Argentina is reputed to have the world’s second-largest deposit of shale gas in the world (and the fourth-largest deposit of shale oil). If Milei follows through and is successful in unleashing shale energy, Argentina could become an LNG exporting powerhouse, competing with the U.S. Hey, maybe a little competition is what we need to overcome the cancer of leftist global warming flummery that holds back our own O&G industry.
Read More “Argentina’s New President Promises to Unleash Shale Gas & Oil”

Freeport LNG’s export facility on Quintana Island, TX, is again experiencing problems. Freeport LNG’s export terminal with three liquefaction “trains” shut down in June 2022 after an explosion and fire (see Explosion Rocks Freeport LNG Export Plant – Offline for 3 Weeks). What was initially thought to be a three-week outage lasted for ten months! The plant finally returned online in March of this year (see Freeport LNG Plant Back to Full Capacity Using 2.1 Bcf/d of NatGas). However, the plant is not yet back to 100% operational status. A second loading dock is still offline (see Freeport LNG Second Loading Dock Inches Closer to Restart). In September, Freeport canceled a series of cargoes due to an ongoing issue that the company never fessed up to (see Freeport LNG Cancels 3-4 Cargoes Due to Outage, Now in 6th Day).
Read More “Another Freeport LNG Outage – Not Drawing Power, Feedgas Drops”

According to the prognosticators at the U.S. Energy Information Administration, North America’s liquefied natural gas (LNG) export capacity will expand to 24.3 billion cubic feet per day (Bcf/d) by 2027 (four years from now) from the current 11.4 Bcf/d we see today. However, the increase will not all come from the United States. Both Mexico and Canada are due to place their first LNG export terminals into service in the next few years. By the end of 2027, EIA estimates LNG export capacity will grow by 1.1 Bcf/d in Mexico, 2.1 Bcf/d in Canada, and 9.7 Bcf/d in the U.S. from 10 new projects across the three countries.
Read More “EIA Predicts North American LNG Exports More Than Double by 2027”

The ignominious end of an era. For a full ten years, MDN has covered the story of Canadian company Pieridae Energy and its quest to build the Goldboro LNG export project in Nova Scotia, using Marcellus/Utica molecules to feed it (see our extensive list of Pieridae stories here). Yesterday, Pieridae issued its third quarter update. In that update comes the news that the company has “initiated a process to sell its Goldboro subsidiary and associated assets, licenses and permits.” Throwing in the towel. A sad day.
Read More “Pieridae Gives Up on Plan to Build Goldboro LNG in Nova Scotia”

Venture Global’s Calcasieu Pass LNG export facility recently received Federal Energy Regulatory Committee (FERC) authorization to place the final three liquefaction blocks (7-9) into service (see Venture Global Gets FERC OK to Commission 3 Calcasieu Pass Trains). The other trains, 1-6, have been online for 18 months but are not officially in commercial service, even though the facility has now shipped over 200 (!) cargoes. Venture Global claims it’s still working out the kinks. Venture’s contracted customers are frustrated that they aren’t getting any shipments and have sued (see Repsol Joins Shell, BP in Suing Venture Global for Missed LNG). It’s time to call out Venture Global for the farce it is engaging in, a farce that is doing damage to the entire LNG industry.
Read More “Calling Out Venture Global LNG for Farce It’s Not Commercially Ready”

U.S. exported 110 cargoes of LNG in October, which is up from September and ties the all-time high number of cargoes exported in March and April this year. In October, nearly 70% of all U.S. cargoes landed in Europe, a huge jump from September. Which European countries received the most U.S. LNG in October? Germany? The U.K.? Nope, not even close. The country receiving the most LNG from the U.S. in October was…
Read More “U.S. LNG Exports Tie All-Time High in October with 110 Cargoes”