Biden promises Europe will get more LNG from the US… Forgot first check with industry – Are you happy with that?
Guest “You Don’t Have Any LNG To Promise Anyone” by David Middleton
“Saturday’s lack of energy”
Given that the industry has expanded in capacity over the next few years, Biden simply promised to deliver the results of other people’s work, like his college semester paper.
Since most LNG shipments are part of long term contractfacilities Currently operating at full capacity and with the largest exporter having “sold out” by the 2040s, there is little excess LNG to deliver to Europe…
Cheniere Energy Inc., the largest U.S. exporter of liquefied natural gas, has sold off its planned 2040s output from the expansion of its $7 billion Corpus Christi plant, said the company’s CEO Jack Fusco. ty said.
Three Democratic hacks on FERC have put a new barrier to future expansion, beyond what’s already in the works…
FERC raises issues of ‘historical’ overhaul of pipeline approvals
By Miranda Wilson | February 18, 2022 07:24 AM ESTThe Federal Energy Regulatory Commission issued new guidance yesterday for natural gas projects, including climate change thresholds for the first time, ignoring decades of precedent for how infrastructure approved main energy stage.
FERC has updated a 23-year-old policy for evaluating proposed natural gas pipelines, adding new considerations for landowners, communities of environmental equity, and other factors. In a separate but related decision, the committee also provided a framework for assessing the greenhouse gas emissions of projects.
Three Democrats on the committee approved both policies, while two Republicans on the panel opposed them.
[…]
“However, we will be temporarily adopting this policy to allow the commission to process pipeline and LNG applications without delay,” Glick said.
Contrary to Democratic commissioners’ claims that it would bring more certainty to the gas industry, the interim policy “creates more questions” for gas developers, Amy Andryszak , president and CEO of the Federal Natural Gas Association of America. The statement, for example, doesn’t explain how much mitigation will be required of developers, she said.
[…]
While they will”temporarily adopt this policy, to allow the commission to process pipeline and LNG applications without delay,” Future LNG capacity expansion will be quite difficult, unless voters fire Democrats en masse in 2022 and 2024. From temporary actually has a definition.
Note: Articles use the phrase “billion cubic meters” (Bcm). This phrase if not normally used in the US oil and gas industry (is the only one that matters). We use billion cubic feet (Bcf).
- 1 Bcm = 35.3 Bcf
- Total US export capacity is projected to reach 14 Bcf/d by 2022.
- 50 Bcm/year promised for Europe by 2030 = 1,765 Bcf/year.
- 1,765 Bcf/year = 4.8 Bcf/day.
- In 2021, US LNG companies export an average of 2.5 Bcf/d to Europe.
- Odds are they will ship more than 5 Bcf/day to Europe by 2030.
Biden has promised to deliver something he has no control over, and maybe it will. I’d like to call him a worthless sack of slate, but that wouldn’t be fair to manure.
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