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Europe, the main destination for LNG from the US, for the second month in a row

2 February 2022
Import-Export
energynomics

Europe remained the main destination for liquefied natural gas (LNG) deliveries from the United States last month, according to Refinitiv data, surpassing exports to Asia for the second month in a row, Reuters reports.

About two-thirds of U.S. LNG volumes went to Europe in January, up from about 61 percent in December, when high demand and prices in Europe led to a record level of liquefied natural gas exports from the United States, according to Refinitiv.

In both months, the reduction in supply led to an increase in demand, so that the destination of LNG carriers was changed. Escalating tensions in Ukraine have highlighted Europe’s dependence on Russian natural gas, prompting buyers to make purchases from other sources.

Last month, liquefied natural gas was traded in Europe for about $30 for a million BTU (mmBtu – the equivalent of burning 2.83 cubic meters of natural gas) due to geopolitical tensions, according to Agerpres.

This week, liquefied natural gas traded at about $27.59 per million BTUs, below the level of $29.12 per million BTUs registered in Asia, according to Rystad Energy.

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