KUALA LUMPUR (July 26): The United States became the world’s largest liquefied natural gas (LNG) exporter during the first half of 2022, said the US Energy Information Administration (EIA).

In a statement on Monday (July 25), the EIA said that compared with the second half of 2021, US LNG exports increased by 12% in the first half of 2022, averaging 11.2 billion cubic feet per day (Bcf/d).

It said US LNG exports continued to grow for three reasons — increased LNG export capacity, increased international natural gas and LNG prices, and increased global demand, particularly in Europe.

The EIA estimated that installed US LNG export capacity has expanded by 1.9 Bcf/d nominal (2.1 Bcf/d peak) since November 2021.

It said the capacity additions included a sixth train at the Sabine Pass LNG, 18 new mid-scale liquefaction trains at the Calcasieu Pass LNG, and increased LNG production capacity at Sabine Pass and Corpus Christi LNG facilities.

As of July 2022, EIA estimated that US LNG liquefaction capacity averaged 11.4 Bcf/d, with a shorter-term peak capacity of 13.9 Bcf/d.

The agency said international natural gas and LNG prices hit record highs in the last quarter of 2021 and first half of 2022.

It said prices at the title transfer facility (TTF) in the Netherlands have been trading at record highs since October 2021.

The EIA said TTF averaged US$30.94 per million British thermal units (MMBtu) during the first half of 2022, while LNG spot prices in Asia have also been high, averaging US$29.50/MMBtu during the same period.

The EIA said since the end of last year, countries in Europe have increasingly imported more LNG to compensate for lower pipeline imports from Russia and to fill historically low natural gas storage inventories.

It said LNG imports in the European Union (EU) and United Kingdom (UK) increased by 63% during the first half of 2022 to average 14.8 Bcf/d.

Most US LNG exports went to the EU and UK during the first five months of this year, accounting for 71%, or 8.2 Bcf/d, of the total US LNG exports.

Similar to 2021, the United States sent the most LNG to the EU and UK during the first half of the year, providing 47% of the 14.8 Bcf/d of Europe's total LNG imports, followed by Qatar at 15%, Russia at 14%, and four African countries combined at 17%.

In June, the United States exported 11% less LNG than the 11.4 Bcf/d average exports during the first five months of 2022, mainly as a result of an unplanned outage at the Freeport LNG export facility.

Freeport LNG is expected to resume partial liquefaction operations in early October 2022.