Natural gas deliveries to some major LNG terminals in the US dropped significantly in the first half of June, according to an industry survey. This creates speculation that the number of cargo cancellations for the month is higher than reported. The data showed that feedgas deliveries to major liquefaction facilities averaged 4.1 Bcfd in the first half of June, a 37% decrease from May’s average.
Cheniere’s Sabine Pass terminal, which has five trains, received 735 MMcfd of gas on June 15, the lowest since February 9, 2019, the survey said. This might suggest that some of its trains were underutilized or not utilized at all. Gas deliveries to Corpus Christi terminal also fell significantly since the beginning of June. Feedgas deliveries to Freeport LNG averaged 0.13 Bcfd during the same period, well below its individual train capacity of around 0.67 Bcfd.
The finding of the survey suggests that up to 44 US LNG cargoes have been cancelled for June delivery, compared to reported cancellations of 20-30 cargoes. For July loading, 45 shipments are said to have been cancelled. Hence, feedgas deliveries are expected to plunge further in July and August.
