U.S. LNG Exports Hit Second-Highest Monthly Level in October as Europe’s Share Reaches 60%

U.S. LNG exports rebounded to 7.92 million metric tons in October, the second-highest monthly total on record, while Europe’s share climbed to 60%. According to Sina Finance, citing Wall Street Insights, LSEG data showed exports were slightly below April’s record of 8.01 million metric tons and up from 7.12 million in September. Higher output at Cheniere Energy and Venture Global LNG offset lost production during 12 days of routine maintenance at Berkshire Hathaway Energy’s Cove Point liquefaction terminal. Europe accounted for 60% of U.S. LNG exports in October, up 8 percentage points from September, as Russia reduced pipeline supplies and European countries resisted Russian energy exports. Asia’s share fell from 30% to 20%, while Latin America’s declined from 8% to 5%. Rystad Energy said in a recent report that European underground gas storage was nearing capacity and some Asian buyers had recently shown limited interest in purchasing LNG. Asian benchmark LNG prices have risen 70% since early August. Morgan Stanley attributed the increase to supply disruptions, including maintenance at Norwegian gas fields and labor disputes in Australia, but expects high global inventories and weaker demand to put gradual downward pressure on prices if Northern Hemisphere winter temperatures are normal. U.S. Energy Information Administration data showed that the United States overtook Qatar and Australia to become the world’s largest LNG exporter in the first half of this year. Two proposed Louisiana export projects have combined planned capacity of 38 million metric tons per year and are scheduled to start operations next year. LNG shipping and brokerage firm Poten & Partners said Tuesday that global capacity expansion would continue, with projects under construction in the United States, Mexico, and Canada representing potential capacity of 100 million metric tons per year.