How Lng is Transforming Energy Markets

American #LNG has completely transformed the global energy market. Ten years ago, U.S. LNG exports were effectively zero. Export facilities were being built, and as the world's largest #naturalgas producer, we certainly had the potential to be a major global supplier. But could anyone have predicted we would go from nothing to the world's largest exporter — in under a decade? The geopolitical impacts from this are enormous. The story of American LNG rescuing Europe in the wake of Russia's aggression against Ukraine has been told a million times. But it's still incredible. Within a few months of the invasion, the United States became the largest LNG supplier to Europe. U.S. LNG exports to Europe increased by nearly 120% from 2021 to 2022. It was energy diplomacy in action. Now try to imagine what that story would have been had the "ban fracking now" crowd been successful in eliminating America's strategic resource. Unsurprisingly, it was that same campaign that secured the infamous LNG "pause" last year. A new study makes the story even more interesting. For months there has been speculation that Europe may increase purchases of Russian gas as the continent struggles with deindustrialization and high energy prices. But research from the Oxford Institute for Energy Studies concluded that Russian gas is unlikely to see a rebound of demand in Europe. A big reason? the "wave of new LNG supply" headed for the continent in the coming years. Many of those molecules will be stamped "Made in America." Skeptics of U.S. LNG often point to the European market, noting that pipeline supplies from places like Norway and Russia are considerably cheaper than importing LNG. But this misses the bigger picture. By expanding the global supply of LNG, U.S. producers are putting downward pressure on prices, giving buyers all around the world more optionality. Even if some of those U.S. cargoes don't physically land in Europe, the impact is still felt. It's a lot easier to negotiate prices with a supplier when you have alternatives. Twenty years ago, Time Magazine ran the headline, "The U.S. Is Running Out of Energy." The story focused on dwindling natural gas supplies and an increased reliance on imports. Thanks to the shale revolution, it didn't quite work out that way — and the world is a fundamentally different place as a result.

LNG is entering its second supercycle. The market isn’t waiting for policy signals. It’s building new terminals, signing 20-year deals, and laying down steel across four continents. Here’s the latest: Canada enters the LNG game — LNG Canada shipped its first cargo ahead of schedule — Opens a new Pacific corridor to Asia — Adds a fresh player to global export mix US doubles down — again — A $17.5B Louisiana megaproject just cleared a major construction hurdle — Venture Global signed a 20-year, 1 MTPA deal with Petronas — Delfin awarded key contracts to Siemens, Samsung, Black & Veatch — ST LNG filed for a new deepwater terminal off Texas Aramco pivots from oil to gas — Selling $4B in power assets — Funding a massive natural gas expansion — Signals intent to become an LNG superpower Africa + Asia rising — Kosmos began production at the GTA FLNG unit in Mauritania/Senegal — Kinetiko signed a deal to develop LNG in South Africa Shipping & bunkering gets smarter — Wärtsilä signed a predictive maintenance deal with Alpha Gas — GTT partnered with Hudong-Zhonghua to optimize LNG bunkering vessels What this means: — The race is on to secure LNG infrastructure before 2030. — Long-term offtake deals are de-risking billions in CapEx. — Asia is still the demand anchor — but the supply web is going global. — Marine fuel, Africa, and modular terminals are fast-emerging themes. Seeing big moves from Aramco, Canada, and Africa — which region do you think will lead the next LNG wave?

LNG freight rates just hit an 8-month high. Tankers are rerouting. And tensions near the Strait of Hormuz are tightening the pressure on global energy flows, regardless of the outcome. These developments add weight to a story that was already accelerating. U.S. LNG export capacity is expected to increase from 12 to 27 Bcf/d by 2028 and could reach 40 Bcf/d by the end of the decade. Today’s post breaks down what’s driving that growth: the next wave of coal-to-gas conversions, soaring demand from Europe and Asia, and a grid that needs flexible, reliable fuel alongside long-range nuclear buildouts. Germany now gets 86% of its LNG from the U.S. China leads global imports. In the U.S., natural gas already generates 43% of electricity, with further conversions anticipated. This represents a structural shift, and the next phase is progressing rapidly. #LNG #NaturalGas #EnergyMarkets #Geopolitics