Daily Management Review

US LNG producers cancel a number of exports due to rising domestic prices


Many shipments of US-based LNG exporters have been canceled over the past week, according to S&P Global, which cited sources.

Amanda Graham
Amanda Graham
In addition to causing significant disruptions to the operations of several LNG terminals in the United States, frosty weather also sharply increased domestic gas demand and spot prices, which incentivized businesses to divert supply to the domestic market.

According to S&P Global sources, at least one LNG export via the Cameron facility in Louisiana and another via the Freeport terminal in Texas were canceled. According to sources, five LNG exports were canceled in total.

S&P reported that although gas prices at the U.S. Henry Hub reached multi-year highs of $12.97 per million British thermal units (BTU) on January 15 and 16, they have since dropped as a result of warming predictions.

source: reuters.com