Exxon Sees US LNG Supply Reaching 30% of Global Total by 2030

An Exxon executive has forecast that US liquefied natural gas (LNG) supply will grow to make up around 30% of global LNG supply by 2030. The prediction comes as part of a broader trend in which US LNG production has been increasing, and is expected to continue doing so over the next few years.

This growth in US LNG supply is not without its challenges, however. In the past, episodes where liquefaction capacity has outrun demand have compressed global spot prices and weakened the economics of later-sanctioned projects. The executive's comments are therefore tempered by a note of caution, with the implication that the pace of new additions will be crucial in determining whether the sector is able to meet its growth targets.

The Exxon executive has prior form in talking up volumes it has committed capital to, and the company's equity story does lean on LNG and deepwater growth. As such, directional optimism from the company is an established pattern rather than fresh information.