Released April 28, 2025 | SUGAR LAND
en
Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--U.S. volumes of liquefied natural gas (LNG) continue to hold above government estimates, though an Oxford study warns that emissions represent something of an "Achilles Heel" for the industry.
Exporting its first batch of LNG in 2016, the United States emerged as the world leader by 2022, surpassing Australia and Qatar. Feedgas for the eight operational terminals in the United States reached 16 billion cubic feet last week. Led by the newly launched Plaquemines facility, operated by Venture Global LNG (NYSE:VG) (Arlington, Virginia), terminals were operating at 97% of their peak capacity of 16.6 billion cubic feet per day (Bcf/d).
That's 18.5% above what the government expects for the yearly average in exports. That came even as operations sputtered last week at the Sabine Pass terminal, operated in Louisiana by Cheniere Energy Incorporated (Houston, Texas) and the largest LNG facility by volume.
Maria Sanchez, a natural gas products senior energy analyst at IIR Energy, said that volumes at Sabine Pass dipped by a half-billion cubic feet on Wednesday.
"This marks the second time this week Sabine's feedgas has dipped to 3.9 Bcf/d before recovering to 4.4 Bcf/d, with a similar fluctuation occurring on April 21," she wrote Thursday.
The decline was attributed in part to lower volumes moving through the Kinder Morgan Incorporated (NYSE:KMI) (Houston, Texas) Louisiana Pipeline. Total U.S. gas production, meanwhile, hit 105.8 Bcf/d last week, supporting higher LNG volumes, though Sanchez said that seasonal maintenance is expected to result in some production volatility.
LNG exports under former President Joe Biden helped ensure energy security in 2022 when Russian gas exports to Europe were curtailed by sanctions imposed in response to the invasion of Ukraine. Biden, however, enacted a pause -- later overturned by the courts -- on new LNG export permits while the administration studied the potential emissions up and down the supply chain.
Scientists at the U.S. space agency NASA in 2020 observed a 2-mile plume of methane emanating from the Permian, among the largest inland shale natural gas basins in the country. Methane is a potent greenhouse gas with a far greater warming potential than carbon dioxide.
A climate change skeptic, U.S. President Donald Trump revoked Biden's pause, declared a national energy emergency and created a council for energy dominance, backing three new LNG facilities since his return to the White House in January.
Natural gas is composed primarily of methane, though it's often seen as a bridge to a cleaner future. A global methane pledge from 2021 covers energy and agriculture, but a study from the Oxford Institute for Energy Studies (OIES) found there's really "no way to judge" progress made toward cutting emissions by 30% from 2020 levels by 2030.
As such, OIES concluded that "methane emissions are the potential Achilles Heel of any claim for gas and LNG to act as a transition or bridge fuel."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Exporting its first batch of LNG in 2016, the United States emerged as the world leader by 2022, surpassing Australia and Qatar. Feedgas for the eight operational terminals in the United States reached 16 billion cubic feet last week. Led by the newly launched Plaquemines facility, operated by Venture Global LNG (NYSE:VG) (Arlington, Virginia), terminals were operating at 97% of their peak capacity of 16.6 billion cubic feet per day (Bcf/d).
That's 18.5% above what the government expects for the yearly average in exports. That came even as operations sputtered last week at the Sabine Pass terminal, operated in Louisiana by Cheniere Energy Incorporated (Houston, Texas) and the largest LNG facility by volume.
Maria Sanchez, a natural gas products senior energy analyst at IIR Energy, said that volumes at Sabine Pass dipped by a half-billion cubic feet on Wednesday.
"This marks the second time this week Sabine's feedgas has dipped to 3.9 Bcf/d before recovering to 4.4 Bcf/d, with a similar fluctuation occurring on April 21," she wrote Thursday.
The decline was attributed in part to lower volumes moving through the Kinder Morgan Incorporated (NYSE:KMI) (Houston, Texas) Louisiana Pipeline. Total U.S. gas production, meanwhile, hit 105.8 Bcf/d last week, supporting higher LNG volumes, though Sanchez said that seasonal maintenance is expected to result in some production volatility.
LNG exports under former President Joe Biden helped ensure energy security in 2022 when Russian gas exports to Europe were curtailed by sanctions imposed in response to the invasion of Ukraine. Biden, however, enacted a pause -- later overturned by the courts -- on new LNG export permits while the administration studied the potential emissions up and down the supply chain.
Scientists at the U.S. space agency NASA in 2020 observed a 2-mile plume of methane emanating from the Permian, among the largest inland shale natural gas basins in the country. Methane is a potent greenhouse gas with a far greater warming potential than carbon dioxide.
A climate change skeptic, U.S. President Donald Trump revoked Biden's pause, declared a national energy emergency and created a council for energy dominance, backing three new LNG facilities since his return to the White House in January.
Natural gas is composed primarily of methane, though it's often seen as a bridge to a cleaner future. A global methane pledge from 2021 covers energy and agriculture, but a study from the Oxford Institute for Energy Studies (OIES) found there's really "no way to judge" progress made toward cutting emissions by 30% from 2020 levels by 2030.
As such, OIES concluded that "methane emissions are the potential Achilles Heel of any claim for gas and LNG to act as a transition or bridge fuel."
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
