Wednesday, December 18, 2024
HomeAll NewsBiogas (CBG)US LNG exports to India surge amid price drop and rising regional...

US LNG exports to India surge amid price drop and rising regional demand

In May 2024, US LNG exports to India totaled 45,269 million cubic feet, according to the US Energy Information Administration (EIA).

Recent figures from the EIA show significant developments in US LNG exports to India in recent months.

The price of US LNG exports to India decreased notably during the first half of 2024. It was USD 6.57 per thousand cubic feet in January 2024, dropping to USD 5.32 per thousand cubic feet by May 2024. This price reduction reflects broader global LNG market trends and might impact India’s future energy procurement strategies.

S&P Global Commodity Insights reports that India has been a key destination for US LNG, driven by higher-than-expected temperatures in the Asia-Pacific region that increased demand.

In June, India was among the leading destinations for US LNG, underscoring its importance in the regional energy market.

In July, China and South Korea were the top destinations for US LNG, each receiving 11 cargoes. India, along with the Netherlands and Argentina, received eight cargoes each. This shift in distribution saw a decline in US LNG imports to European destinations, including Turkey, which received only 34 cargoes in July, less than one-third of the total US LNG cargoes for that month.

The rise in US LNG prices is occurring amid global supply concerns, such as maintenance issues in Norway, tensions in the Middle East, and supply disruptions in Australia.

The decrease in US LNG cargoes to Europe, coupled with increased shipments to the Asia-Pacific region, reflects changing global LNG trade patterns. The rising demand in the Pacific Basin, particularly in Southeast Asia, is a significant factor in this trend.

Despite these developments, July saw a reduction in loadings to 98 cargoes from 110 in June, partly due to disruptions at the Freeport LNG export terminal caused by Hurricane Beryl. The storm led to damage and power outages that impacted feed gas deliveries and delayed terminal operations. Although regional demand surged, global LNG market conditions have remained generally bearish as August began.

European storage levels are still strong, and buying interest from South Asia and China has been limited. However, supply concerns have increased prices in the Atlantic basin. For example, Platts reported the September JKM benchmark price for LNG delivered to Northeast Asia at USD 12.915/MMBtu on August 2, a 0.5% rise from the previous day.

To read more about Biogas Industry News, continue reading BioEnergyTimes.com

JOIN OUR MAIL LIST

Subscribe to BioEnergyTimes

RELATED ARTICLES

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Most Popular