U.S. LNG Exports Face Feedstock Limitations Amid Expansion Plans

U.S. liquefied natural gas (LNG) exports are facing feedstock limitations, but expansion projects along the Gulf Coast are expected to boost output in the coming years.

Maintenance at the Freeport LNG terminal has been a major contributor to the subdued levels of feed gas, which dropped 0.15 billion cubic feet overnight to reach 17.09 billion cubic feet on Tuesday, according to Industrial Info Resources' NATGAS Today report.

The federal government forecasts LNG exports to average 17.4 billion cubic feet per day this year, a 15% increase from last year's levels, and could rise another 8.1% by next year to average 18.6 billion cubic feet per day.

Expansion projects are underway at several terminals, including the Plaquemines terminal operated by Venture Global LNG, which is adding 1.96 billion cubic feet of feed gas capacity through trains 19-36.