Freeport LNG Export Plant in Texas will take in more natgas data shows

Data from the financial firm LSEG revealed that U.S. liquefied gas company Freeport LNG was'set to receive more natural gas in its Texas export plant on Wednesday. This implies a resumption of service by one of three liquefaction train after it had been shut down on Tuesday.

It is one of the U.S. LNG facilities that are closely monitored in the world, as changes in its operation can lead to a?price spike in global gas markets.

Gas prices in the U.S. typically?decline due to lower demand from the export plant. Prices in Europe are usually higher because there is less LNG available for global markets.

The futures price in the U.S. was up about 2% on Wednesday, after having fallen?to an all-time low on Tuesday. This was due to the closure of the liquefaction trains at Freeport.

The prices in Europe are also near their lowest level for 19 months, but not necessarily because of Freeport.

Freeport informed Texas environmental regulators on Tuesday that the liquefaction train 2 was shut down due to a problem with a system of compressors.

Freeport officials had no comment to make on the Tuesday outage.

LSEG reported that gas flow to Freeport?was on track to increase to 1.9 billion cubic feet per day, up?from 1.2 bcfd Tuesday. This compares to a?average of 1.9 billion cubic feet per day during the previous seven days.

Three liquefaction plants at?Freeport can convert about 2.4 bcfd gas into LNG.

A billion cubic feet of natural gas can supply five million U.S. households for one day. (Reporting and editing by Barbara Lewis; Scott DiSavino)

(source: Reuters)