Golden Pass LNG Ramp Fails to Deliver as Winter Demand Forecasts Come Under Pressure

The Golden Pass LNG terminal in Texas is not ramping up as quickly as expected. Despite being commissioned five months ago, Train 1 of the facility is only drawing about a third of its capacity. This has led to a reduction in first-cycle nominations, which is trimming analysts' natural gas demand outlooks for winter and early 2027.

The terminal, operated by Energy Transfer LP, had initially planned to ramp up quickly, but it appears that delays are slowing the process. In September, the facility walked back 46% of its nominations, resulting in a significant drop in deliveries to 277,000 Dth/d. Aegis, another LNG terminal operator, has also flagged delays to Trains 2 and 3 at Golden Pass.

The reduced ramp-up is having an impact on natural gas demand forecasts for the winter season. Analysts will need to reassess their expectations in light of these developments.