Energy News Beat Publishers Note: The LNG shipping and exports for the United States are imperative long term place on the energy table.
- The cost of shipping liquefied natural gas from the U.S. to Asia hit a record high today, and a scarcity of on-the-water LNG cargoes heading to Asia means buyers of prompt deliveries have been left with few options to meet heavy demand.
- Freezing temperatures across Asia and Europe have pushed up LNG prices as buyers try to cope with shrinking inventories and the shortage of tankers.
- Average daily tanker rates on the U.S. Gulf to Japan route rose to $253,270 today, compared with $174K/day at the end of last year, Baltic Exchange data shows.
- But with Asian spot prices topping $30/MMBtu, extending a historic rally, three U.S. LNG facilities are seeing lower utilization, according to S&P Global Platts.
- Kinder Morgan’s (NYSE:KMI) Elba Liquefaction in Georgia is working on scheduling repairs to a unit at the 10-train facility that has been offline since a fire eight months ago, Cheniere Energy’s (NYSEMKT:LNG) Corpus Christi Liquefaction facility in Texas is seeing lower utilization, and Freeport LNG in Texas also is operating at reduced levels.
- ETFs: UNG, UGAZF, DGAZ, BOIL, FCG, KOLD, UNL, GAZ, GAZB
- Taiwan’s CPC Corp. said this week it received the first shipment of LNG cargoes from Cheniere Energy under a 25-year deal.
Cheniere Energy
Kinder Morgan
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