Saturday, December 7, 2019

US Signs Highest LNG Export Contract

November 21, 2019

Graph: GlobalData

US signed highest volume of global long-term liquefied natural gas (LNG)  export contracts in 2019, accounting for around a 67% of global share. Abundant shale gas production in the US has enabled the country to export natural gas as LNG. to global markets.  

According to GlobalData, the US has signed five long-term contracts in 2019 for the export of 22.3 million tonnes per annum (mtpa) of LNG. Of these, the contract signed between Golden Pass Products and Ocean LNG Limited had the highest export volumes with 15.6mtpa.

LNG will be supplied from the Golden Pass II LNG liquefaction terminal in Texas for 20 years from 2024 to 2044.

Sunrita Dutta, Oil and Gas Analyst at GlobalData, explains: “The other major long-term LNG contracts signed for export of LNG from the US include a contract signed between Driftwood LNG and Total Gas & Power North America for export of 2.5mtpa of LNG from 2023 to 2038. Magnolia LNG and NextDecade Corporation also signed contracts for export of 2mtpa of LNG each.”

Mozambique signed the second highest long-term LNG contract volumes in 2019 with 9.7mtpa. Mozambique LNG 1 signed all the contracts for export of LNG with different purchaser companies.

Dutta concludes: “Canada and Papua New Guinea account for the remaining long-term LNG contract volumes signed for 2019. Both countries have signed contracts for export of 0.8mtpa and 0.5mtpa of LNG, respectively.”

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