US LNG Exports Soar to Near Record Levels
A New Era of LNG Production
The United States has solidified its position as the world’s largest LNG exporter, with exports reaching a near-record 8.5 million metric tonnes (MT) in December. This significant increase is largely attributed to the startup of two new plants, which drove up full-year shipments by 4.5% over 2023, according to preliminary data from financial firm LSEG.
December’s Output Sets the Stage
December’s output was just shy of the record monthly export of 8.6 MT recorded in December 2023, and 9% higher than the 7.75 MT exported in November. This surge in production has led to a total of 88.3 MT of LNG exports for the year, up from 84.5 MT in 2023.
New Capacity to Drive Growth
The startup of Cheniere Energy’s Stage 3 expansion at Corpus Christi, Texas, and Venture Global LNG’s launch of its Plaquemines plant in Louisiana, are expected to add 30 MTPA to U.S. annual output over time. This increased capacity will be crucial in tempering global LNG price volatility, particularly in 2025, according to Alex Munton, director of global gas and LNG research at consulting firm Rapidan Energy Group.
Market Shift Expected in 2025
Global LNG supply growth was minimal in 2024, but the impact on prices was muted due to a mild winter in Europe and continued Russian gas flows to Europe through Ukraine. However, these conditions are not expected to continue in 2025, and supply-to-demand conditions will be significantly tighter, putting a spotlight on U.S. export growth.
Europe Remains the Top Destination
Europe remained the preferred destination for U.S. LNG exports in December, with 5.84 MT or 69% of the superchilled gas sold to the continent. This is compared to 5.09 MT in November. U.S. exports to Europe saw a myriad of countries buying the superchilled gas as winter began to set in, with Turkey being one of the major European destinations for U.S. LNG in December.
Asia and Latin America Also See Growth
Total exports to Asia grew slightly in December to 2.01 MT, or 24%, up from 1.64 MT or 21% of total exports in November. Latin America took.58 MT, the same as November 2024, while there was also one cargo for.07 MT sold to Jordan.
A Year of Growth and Expansion
In 2024, Europe accounted for 55% of total US LNG exports, 34% of total US exports went to Asia, and the next 11% went mainly to Latin America, with a few cargoes to the Middle East, mainly to Egypt and Jordan.
Meeting the Demand
Higher LNG production in late December has led to record feedgas demand, and producers will have to play catch up this year, said Ira Joseph, an LNG market expert and senior researcher at Columbia University’s Center on Global Energy Policy. As U.S. gas producers ramp up to meet the increasing demand, they will also need to contend with growing data center- and AI-related demand in 2025.
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