Freeport LNG Texas export plant resumes loadings after unexplained halt -LSEG data
U.S. liquefied natural gas (LNG) producer Freeport LNG’s export plant in Texas returned to near full power on Friday after pulling in less natural gas than usual over the past week, according to data from financial firm LSEG.
The unexplained curb to its gas-processing abruptly ended with Singapore-flagged tanker BW Pavilion Aranda setting sail on Friday for Europe after loading a day earlier.
U.S. gas futures NGc1 eased 1% to $2.678 per million British thermal units (mmBtu) in early trading after reaching $2.743 on Tuesday.
The 2.1-billion cubic feet per day (bcfd) export facility was on track to pull in about 1.9 bcfd of gas on Friday, up from an average of 0.3 bcfd from Sept. 10-13, according to LSEG data.
A second vessel, the SK Resolute, was on its way to the port to load, LSEG vessel tracking showed. Three other LNG tankers were anchored near Freeport waiting to load in the coming days.
A Freeport LNG spokesperson declined comment on Friday.
Freeport LNG is the second-largest LNG producer in the U.S. and has not said what caused operators to sharply reduce gas intake this week.
Market analyst Rapidan Energy Group on Wednesday downgraded its third quarter gas utilization forecast for Freeport LNG to 80% from 95% as a result of the outage.
The outage likely reflectedpressure on the Texas grid, which has been constrained by peak demand caused by excessive heat for most of the summer, said Rapidan Energy’s Director of Global Gas & LNG Research Alex Munton.
Source: Reuters (Reporting by Scott DiSavino and Curtis Williams; editing by Jason Neely and Chris Reese)