Preliminary figures from LSEG indicate that US liquefied natural gas shipments plummeted to 10.2 million metric tons in May, marking a significant drop due to scheduled maintenance activities affecting production levels throughout the month.
US liquefied natural gas shipments plummeted to a record low of 10.2 million metric tons in May, marking the weakest monthly performance so far this year, except for February's truncated period, according to LSEG's initial figures.
Related ↗British companies halt recruitment amid Iran conflict impact, REC research indicates.Planned shutdowns at multiple export facilities triggered a significant drop in US liquefied natural gas shipments in May, following a brief delay in maintenance scheduling.
US liquefied natural gas exports saw a downturn in May due to scheduled maintenance, whereas Cheniere Energy and some other exporters had delayed upkeep in March to boost shipments to Asia amidst supply chain disruptions caused by reduced Qatari supplies.
Read next ↗Tate & Lyle accepts a £2.7 billion all-cash acquisition from Ingredion.In Texas, Freeport LNG's operations were impacted by a planned shutdown of one of its three liquefaction trains, which started mid-May. Meanwhile, Cameron LNG in Louisiana adjusted its feedgas intake due to annual maintenance on Train 2 and ongoing pipeline repairs.
Commissioning activities at Golden Pass LNG in Texas resulted in minimal gas intake during the initial weeks of May, while nearby Cheniere's Sabine Pass facility in Louisiana experienced a significant decline in feedgas flows mid-month due to scheduled maintenance.
US liquefied natural gas exports experienced a mixed trend in May, with volumes bound for Asia reaching their highest level in 12 months. Shipments to the region totaled 3.68 million tonnes, accounting for nearly 36% of total exports. This marked an increase from April's 2.71 million tonnes.
Asian markets paid a higher price for liquefied natural gas, outpacing European rates significantly in May.
Liquefied natural gas prices in Asia softened somewhat in May, yet remained high, with the JKM averaging $17.75 per million British thermal units (mmBtu), a decrease from the previous month's rate of $17.92. The benchmark price held steady at around a 10% premium to Europe's TTF, which averaged $16.11 per mmBtu, up from $15.34 in April.
US liquefied natural gas shipments to Europe declined in May due to maintenance, with the continent still accounting for a significant share of exports at 5.13 million tonnes, roughly half of all shipments received.
Latin American imports surged to a record 600,000 tons in May, accounting for approximately 6% of overall shipments, marking a significant milestone since the US-Iran conflict began.
US liquefied natural gas exports to Latin America have decreased significantly since the onset of conflict, as per LSEG's latest statistics.
Purchases from Egypt plummeted in May, with the country bringing in approximately 300,000 tons, a significant drop from its usual 600,000-ton imports.
Meanwhile, a pair of LNG shipments reached their destinations in Africa, leaving about 3% of US cargo capacity idle by month's end.
Preliminary LSEG data indicate that global LNG exports held steady at 33.8 million tonnes in May, a slight drop from the previous month's 33.99 million tonnes, but still above the March figure of 35.66 million tonnes.
Cheniere Energy(LNG.N)gas exports saw a downturn in May due to scheduled maintenance, whereas Cheniere Energy and some other exporters had delayed upkeep in March to boost shipments to Asia amidst supply chain disruptions caused by reduced Qatari supplies.
