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Daily Prices

9/25/24

Asian, European Buyers Secure Additional LNG Supplies in Series of Deals

By Jamison Cocklin

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Published in: Daily Gas Price Index Filed under:

Nearly a dozen market participants announced a series of deals at Gastech 2024 in Houston last week, landing more than 5 million metric tons/year (mmty) of global LNG export and import capacity as supplies are forecast to grow through the end of the decade.

Rendering of Commonwealth LNG facility showing a modern industrial complex with LNG storage tanks, natural gas processing units, and energy infrastructure.

Commonwealth LNG, which is developing a 9.5 mmty export project in Louisiana, said it had signed a tentative deal to supply 2 mmty of the super-chilled fuel to commodity trader Glencore plc for 20 years. Kimmeridge Texas Gas LLC (KTG), which took a 90% stake in Commonwealth in June, said it would sell the same amount of natural gas to Glencore for liquefaction over the period.

KTG produces 400 MMcfe/d in the Eagle Ford Shale. Commonwealth, which has one firm liquefied natural gas supply agreement with Woodside Energy Group Ltd., said it is aiming to finalize the Glencore deal by the end of the year. KTG expects to make a final investment decision on the project in the first half of next year, and plans to start producing LNG in 2028.

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Jamison Cocklin

Jamison Cocklin joined the staff of NGI in November 2013 to cover the Appalachian Basin. He was appointed Senior Editor, LNG in October 2019, and then to Managing Editor, LNG in February 2024. Prior to joining NGI, he worked as a business and energy reporter at the Youngstown Vindicator, covering the regional economy and the Utica Shale play. He also served as a city reporter at the Bangor Daily News and did freelance work for the Associated Press. He has a bachelor's degree in journalism and political science from the University of Maine.