LNG

Since 2015 US exports of liquefied natural gas(LNG) have quadrupled from 1.5 trillion cubic feet to 6.7 tcf. The US now exports (LNG) to 41 countries. The US has 8 existing LNG export facilities with 4 new ones under construction and 11 more approved but not yet under construction and 6 more proposed but not yet approved. Europe uses 5.1 trillion cu feet per year and 2 trillion of that comes from Russia. There are 175 LNG ships operating today and it would take 7 shipments per day to replace Europe's lost gas from Russia. US sent 74% of its exports of LNG to Europe so far this year and that is up from 34% last year. It appears that the US has enough gas to replace the Russian gas but not enough ships to get the gas there before winter sets in. On Europe's end, there are currently 28 large-scale LNG import terminals and 8 small-scale facilities which can only unload about half what is needed. As new terminals come online the shortage will be solved but that will not happen in time to cover this upcoming winter. The answer for this winter, at least, is to reopen closed coal and nuclear power plants and reduce home heating temperatures. Gas consumption has already gone down by 10 percent. It is surprising to many that the Europeans are willing to make these sacrifices to protect Ukraine.