Even as warm weather was on the way to parts of Europe and Asian forward prices were at their lowest-ever December level, delivery of feed gas to the six major US LNG export facilities was near a record Friday.
Additional liquefaction capacity which is expected to come online in the months ahead triggered the ramp-up in US activity.
Positive LNG netbacks to the US Gulf Coast through the end of this winter supported by strong contango in the European and Asian gas/LNG forward markets.
Asia’s weak demand in early-winter has led to a recent decline in Asian LNG netbacks, causing Western European gas hubs trading at a solid netback premium to Northeast Asian LNG markets.
The USGC LNG netback from the Dutch Title Transfer index, at the close of trading Thursday, was estimated at around $1.15/MMBtu through the end of the winter.
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