From S&P Global Platts, April 4:
Eyes remain glued on developments in the Russia-Ukraine war and its impact across commodities, particularly gas flows into Europe. Seasonal trends as markets enter the second quarter of the year are also being observed in dry bulk cargoes and freight rates.
1. US LNG exports unable to solve Europe's gas supply woes
What's happening? US LNG feedgas demand ran at all-time monthly high of 12.8 Bcf/d in March, up from the previous monthly high of 12.5 Bcf/d in January, as new liquefaction capacity had been quickly assumed to meet the international market's needs. While US LNG exports are limited by gas liquefaction capacity, more cargoes left bound for Europe, which has taken more than 70% of US exports since January, as price premiums have incentivized supply away from the Asia-Pacific region.
What's next? US LNG export facilities are expected to run at or near full capacity in summer 2022, or April-October, under the assumption that export facilities will prioritize run rates, with European markets looking to phase out current energy imports from Russia. S&P Global Commodity Insights forecasts LNG feedgas demand will average 12.6 Bcf/d from April-October, up from 1.9 BCf/d in the same period in 2021....
....MUCH MORE
