HOUSTON - U.S. liquefied natural gas deliveries to Asia rose substantially in April, according to preliminary ship-tracking data compiled by financial firm LSEG. The increase came as supplies from the Middle East were curtailed amid regional conflict, prompting Asian buyers to turn to U.S. producers to help plug the gap.
Shipment changes and volumes
LSEG's early tallies show almost one quarter of U.S. LNG exports were bound for Asia in April, a notable jump as the conflict that began in late February reduced output from some Middle Eastern exporters. Shipments to Asia expanded by more than 175% over the period described in the data, moving from roughly 970,000 metric tons in February to 1.99 million metric tons in March and reaching 2.71 million metric tons in April.
Despite the rise in Asian destinations, total U.S. LNG exports eased from a record. LSEG reported U.S. shipments fell to 10.97 million metric tons in April from 11.7 million metric tons in March. LSEG attributed the month-on-month decline to factors including April having one fewer day than March and delays in some cargo loadings.
Prices and market signals
Asian spot prices remained elevated in April. The Japan Korea Marker benchmark averaged $17.92 per million British thermal units (mmBtu) in April, a slight decline from March's $18.27 per mmBtu but still approximately 17% higher than Europe's TTF benchmark. The TTF averaged $15.34 per mmBtu in April, down from $17.99 in March, according to the LSEG figures cited.
Feedgas and terminal activity
Natural gas flows into U.S. export plants reached a new high in April, with feedgas hitting 18.8 billion cubic feet per day, up from the previous peak of 18.7 bcfd recorded in February, LSEG said. The data also noted that the Golden Pass terminal shipped its first U.S. LNG cargo in April, sending a single cargo to Belgium. Golden Pass, a joint venture between QatarEnergy and Exxon Mobil, drew just under 300 million cubic feet per day of gas during the month but exported only one cargo, a dynamic that may help explain the disparity between record feedgas demand and the slightly lower LNG export total.
Destinations and outstanding cargoes
Europe remained the largest destination for U.S. LNG in April, taking in 6.14 million metric tons, representing just under 56% of April exports. Egypt was an active buyer during the month, importing about 710,000 metric tons of U.S. LNG, which exceeded the approximately 500,000 metric tons shipped to Latin America. A single cargo was also delivered to South Africa, noted as a rare destination for U.S. LNG.
The ship-tracking data showed nine LNG vessels that departed U.S. ports in April were still seeking buyers at the time of the report. Two of those vessels were reported to be anchored near the Suez Canal while still looking for purchasers.
Implications
The LSEG data underscore a shifting pattern of flows driven by reduced Middle Eastern exports and heightened Asian demand, with U.S. suppliers stepping in to meet some of the shortfall. At the same time, total U.S. export volumes were affected by calendar and logistical factors that moderated shipments despite elevated feedgas intake.