Europe Remains Top Destination for U.S. LNG for Third Month
HOUSTON (Reuters) — Europe's call for U.S. liquefied natural gas continues to run hot in February and is poised to remain the top destination for U.S. shipments for the third month in a row, according to mid-month Refinitiv vessel tracking data on Tuesday.
About three quarters of U.S. LNG volumes went to Europe in January as skyrocketing demand lifted prices and U.S. LNG exports. U.S. LNG exports overall last month hit 7.3 million tonnes.
“Volumes into Europe remain extremely strong with the U.S. playing a key role,” said Reid I'Anson, senior commodity analyst at data provider Kpler. U.S. exports to Europe this month could be near January's record, based on Kpler’s preliminary data.
So far this month, the U.S. has exported 3.56 million tonnes of LNG, similar to the half-way market in December, which was the second highest on record, preliminary Refinitiv data showed on Tuesday.
At least half of U.S. LNG shipped this month has gone to Europe, the Refinitiv data showed, as companies look to secure new supplies. Worries over a cutoff of Russian gas, which accounts for about 35% of European consumption, have contributed to the exports, analysts have said.
Prices have tapered off in recent weeks.
The European LNG benchmark on the Dutch exchange TRNLTTFFVWc1traded at $23.35 per mmBtu this week, below the Asia spot gas LNG-ASat $24.70 per mmBtu and below November's about $31 per mmBtu, Refinitiv data showed.
About 10% of cargoes shipped so far this month have gone to Asia while about 4% of shipments have gone to Latin America, the data showed. About a third of tankers have not disclosed a destination.
The Panama Canal last week said it was seeing increased seasonal demand for passage, but there were fewer LNG vessels crossing the canal due to warmer temperatures in Asia.
Related News
Related News
- Phillips 66 to Shut LA Oil Refinery, Ending Major Gasoline Output Amid Supply Concerns
- FERC Sides with Williams in Texas-Louisiana Pipeline Dispute with Energy Transfer
- U.S. Appeals Court Blocks Kinder Morgan’s Tennessee Pipeline Permits
- ConocoPhillips Eyes Sale of $1 Billion Permian Assets Amid Marathon Acquisition
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
- U.S. Appeals Court Blocks Kinder Morgan’s Tennessee Pipeline Permits
- Malaysia’s Oil Exports to China Surge Amid Broader Import Decline
- U.S. LNG Export Growth Faces Uncertainty as Trump’s Tariff Proposal Looms, Analysts Say
- Marathon Oil to Lay Off Over 500 Texas Workers Ahead of ConocoPhillips Merger
- Valero Considers All Options, Including Sale, for California Refineries Amid Regulatory Pressure
Comments