First cargo from Mexcio’s ECA LNG en route to Asia
TotalEnergies has shipped the first LNG cargo from ECA LNG Phase 1 in Mexico to Asia, marking a commissioning milestone for the 3.25 mtpa Pacific-facing terminal, feed with U.S. natural gas delivered by pipeline from Permian Basin.
U.S. feedgas flows to Mexico rise as Costa Azul LNG ramps up
Feedgas flows from the United States to Mexico are on pace for a record June as Energía Costa Azul LNG project prepares for export start-up. Sempra began producing LNG at the 3.25 mtpa terminal on June 4, with commercial exports due to begin in September.
US LNG export boom ignites fracking ramp-up
Fracking activity is ramping up across the U.S. as producers cater to booming LNG export demand and seek to pre-empt service price spikes. Early movers can reap superior margins.
Permian Shale stages record rise in gas production
Fracking in the Permian Basin has staged a record 11% annual rise in gas production, adding 2.7 bcf/d to reach 27.7 bcf/d, suppored by break-even prices as low as $61 per barrel in the Midland Basin, one of the Permian's largest oil and associated gas formations.
Freeze-offs following winter storm Fern impact US LNG exports
As of January 25, the ‘monster winter storm’ Fern has severely impacted feedgas supply for US LNG exports, with restrictions on the Creole Trail pipeline reducing flows to Sabine Pass terminal. Freeport LNG might also go offline as ice is accumulating along its feedgas corridor.
US gas pricing reveals tightening upstream-to-LNG margin
LNG is driving the bulk of US gas demand growth with Gulf Coast capacity additions pushing exports from 15.5 billion cubic feet per day towards 25 Bcf/d by 2028. Henry Hub prices indicate healthy but tightening upstream‑to‑LNG margins from Haynesville, and especially Permian associated gas.
Eiger Express pipeline expansion to add LNG feedgas capacity
WhiteWater has announced an expansion of Eiger Express, adding 1.2 Bcf/d of incremental transport capacity to increase LNG feedgas supply for US Gulf Coast terminals. The mid-2028 in-service date will not be affected by the expansion.
Higher margin, lower emission gives US LNG an edge over coal
US LNG outperforms coal in economic terms and carbon intensity when evaluated over its full lifecycle for power generation. Two-thirds of US LNG originates from Haynesville and Northeast basins, where drier gas production with less associated liquids create more favourable emission profiles, Wood Mackenzie finds.
Gas-to-oil-ration uplift in the Permian underpins US LNG build-out
Just ten counties in the Permian Basin – a vast geological formation spanning New Mexico and Texas – are home of 1.9 million barrels per day, or 93% in US oil production growth. Increasingly gassy wells help underpin the fast-rising feedgas needs as the build-out of US LNG export capacity progresses.
Pipeline constraints could choke US LNG growth, Cheniere warns
Constraints on feeder pipelines could coke the imminent surge in US LNG exports. “It’s not about the availability of gas, it’s about transportation. “How are we actually going to get it there?,” Cheniere’s vice president Nishita Singh told a conference in Texas.
