Exporting

Last week, MDN tracked a story that developed all week long. The Freeport LNG export facility, located on Quintana Island along the Texas Gulf Coast (south of Houston), is the second largest LNG export facility currently in operation. When operating at full capacity, Freeport can export 2.1 billion cubic feet per day (Bcf/d) of liquefied natural gas–roughly 20% of the U.S.’ entire LNG export output. A little over a week ago, the facility experienced some sort of issue (Freeport has been silent and refuses to respond), reducing output, at one point, to zero (see Freeport LNG Feedgas Drops to Zero, Indicates Ongoing Outage). Reuters reports that as of Friday, the plant is again operating at near capacity, with 1.9 Bcf/d of natgas flowing into the facility.
Read More “Freeport LNG Returns to Full Power Following Unexplained Outage”

U.S. LNG exports dropped in the week ending September 13 compared to the prior week because the Freeport LNG terminal shipped only one cargo during that time. The U.S. Energy Information Administration (EIA) said in its weekly natural gas report that 18 LNG carriers departed the U.S. between Sept. 7 and Sept. 13, down by eight cargoes compared to the week before. As we reported yesterday, Freeport is known to have canceled at least 3-4 cargos over the past week (see Freeport LNG Cancels 3-4 Cargoes Due to Outage, Now in 6th Day). Perhaps the situation is now changing. NGI reports pipelines feeding Freeport have begun to increase flows once again–up to 33% of capacity yesterday.
Read More “LNG Export Cargoes Down by 8 Last Week; Freeport Restarts?”

Three days ago, the feedgas (natural gas) flowing to the Freeport LNG export facility on Quintana Island, TX, dropped to roughly 622 MMcf/d, which is 31% of the facility’s normal capacity of 2 Bcf/d (see Feedgas to Freeport LNG Dropped Last Weekend, Down 69% Yesterday). Two days ago, feedgas flows to Freeport dropped all the way to zero (see Freeport LNG Feedgas Drops to Zero, Indicates Ongoing Outage). Yesterday, feedgas flows resumed, but at a trickle–370 MMcf/d, or roughly 18% of total capacity. Reuters and Bloomberg are reporting Freeport has canceled at least three and possibly four cargo ships that would have loaded at the facility due to the ongoing reduction/outage, which is now in its sixth day.
Read More “Freeport LNG Cancels 3-4 Cargoes Due to Outage, Now in 6th Day”

Two days ago, the natural gas (feedgas) flowing to the Freeport LNG export facility on Quintana Island, TX, had dropped to roughly 31% of its potential capacity (see Feedgas to Freeport LNG Dropped Last Weekend, Down 69% Yesterday). Yesterday, feedgas flows to Freeport dropped all the way to zero. A company spokesperson declined to comment on the situation.
Read More “Freeport LNG Feedgas Drops to Zero, Indicates Ongoing Outage”

The United States exported more liquefied natural gas (LNG) than any other country in the first half of 2023, displacing both Australia and Qatar, which previously rotated in holding the top spot. The U.S. exported 11.6 billion cubic feet per day (Bcf/d) during 1H23, up 4% (0.5 Bcf/d) from 1H22. Australia was #2 in 1H23, exporting 10.6 Bcf/d. Qatar was #3 with 10.4 Bcf/d.
Read More “U.S. Grabs Top Spot as LNG Exporter Worldwide First Half of 2023”

Earlier this year, Sempra Infrastructure, a subsidiary of Sempra, announced it had reached a positive final investment decision (FID) for the development, construction, and operation of the Port Arthur LNG Phase 1 project in Jefferson County, Texas (see Port Arthur LNG Pulls Trigger on FID, Tells Builder to Start Work). Sempra worked out all of the remaining financial aspects of the deal, including the sale of a non-controlling piece of the project to investment firm KKR and forming a joint venture with ConocoPhillips. Yesterday, Sempra announced it had closed on the deal with KKR.
Read More “Sempra Sells 42% of $13B Port Arthur LNG Phase 1 to KKR”

According to multiple sources, feedgas (natural gas) flows to Freeport LNG (south of Houston, located on Quintana Island, Texas), the second-largest U.S. LNG exporter, dropped sharply over the weekend and remained down for the third day in a row on Monday. Freeport has the capacity to accept 2 Bcf/d (billion cubic feet per day) of feedgas. As of yesterday, the plant accepted 622 MMcf for the day, about 31% of maximum capacity. What’s going on?
Read More “Feedgas to Freeport LNG Dropped Last Weekend, Down 69% Yesterday”

Driftwood LNG, a 27.6 million tonnes of LNG per year facility that will cost on the order of $14.5 billion to build has not made an official final investment decision (FID) to proceed with the FERC-approved project, yet. However, construction began on the project in March 2022 (see Tellurian Begins Construction of Driftwood LNG with No FID). Chairman of the Board and Founder of Tellurian, Charif Souki, has changed tactics in how he will fund the Driftwood project several times. Recently, Souki tried to find enough equity investors to make the project happen–but that hasn’t worked out. Last week, Souki said he’s now willing to sign companies on long-term contracts without an equity commitment.
Read More “Change in Tactics: Tellurian Begins Taking Orders for Driftwood LNG”

Last November, after months of carping and complaining, the (at that time) three Democrats who serve as commissioners for the Federal Energy Regulatory Commission (FERC) flipped and voted with the two Republican commissioners to approve Commonwealth LNG’s plan to erect a new LNG export plant in Cameron Parish, La. (see FERC Flips – Unanimously Approves La. Commonwealth LNG Terminal). Since then, one of the three Dems, Richard “Dick” Glick, has left (shown to the door by Joe Manchin). While Commonwealth has not officially declared a positive final investment decision (FID) to build the plant, it looks like the company is close to doing so. Earlier this week, Commonwealth LNG signed a deal with a European company to sell 1 million tonnes per annum (MTPA) of LNG for 20 years from the facility.
Read More “Commonwealth LNG Signs MET Group to Prelim Contract for 20 MT”