The amount of natural gas flowing to U.S. liquefied natural gas (LNG) company Freeport LNG's export plant in Texas was on track to hit its highest on March 29 since shutting in June 2022, according to data provider Refinitiv.
The plant has been slowly pulling in more feedgas since it exited an eight-month outage in February.
Gas flows to Freeport LNG were on track to rise to 1.8 billion cubic feet per day (Bcf/d) on March 29, up from 1.6 Bcf/d on March 28.
Energy traders said gas flows at that level likely signal Freeport LNG started the third of three liquefaction trains at the plant. Liquefaction trains turn gas into LNG for export.
Freeport LNG had no comment on the increase in gas flows to the plant.
When operating at full power, Freeport LNG can turn about 2.1 Bcf/d of gas into LNG.
One billion cubic feet of gas is enough to supply about five million U.S. homes for a day.
On March 8, Freeport LNG anticipated feedgas flows would rise and fall as the plant returns to full production over the "next few weeks."
Sources familiar with the plant said Freeport LNG had canceled some cargoes for March due to issues with one train, and noted the facility could take longer than the company expects to return to full service.
Demand for U.S. LNG increased after several countries slowed purchases of Russian energy and imposed sanctions on Moscow after Russia's invasion of Ukraine in February 2022.
The combination of those sanctions and the Freeport LNG shutdown drove gas prices to record highs in Europe and Asia during summer 2022.
Total gas flows to all seven big U.S. LNG export plants rose to an average of 13.1 Bcf/d so far in March, up from 12.8 Bcf/d in February.
That would top the monthly record of 12.9 Bcf/d in March 2022, before Freeport LNG shut.
Recommended Reading
Well Logging Could Get a Makeover
2024-02-27 - Aramco’s KASHF robot, expected to deploy in 2025, will be able to operate in both vertical and horizontal segments of wellbores.
Shell Brings Deepwater Rydberg Subsea Tieback Onstream
2024-02-23 - The two-well Gulf of Mexico development will send 16,000 boe/d at peak rates to the Appomattox production semisubmersible.
E&P Highlights: Feb. 26, 2024
2024-02-26 - Here’s a roundup of the latest E&P headlines, including interest in some projects changing hands and new contract awards.
Remotely Controlled Well Completion Carried Out at SNEPCo’s Bonga Field
2024-02-27 - Optime Subsea, which supplied the operation’s remotely operated controls system, says its technology reduces equipment from transportation lists and reduces operation time.
Tech Trends: Halliburton’s Carbon Capturing Cement Solution
2024-02-20 - Halliburton’s new CorrosaLock cement solution provides chemical resistance to CO2 and minimizes the impact of cyclic loading on the cement barrier.