Gas Demand Drops at Two Major LNG Export Plants

Two of the largest U.S. liquefied natural gas (LNG) export facilities reported sharp declines in gas demand this week, raising questions about potential outages or maintenance at key sites.

According to data from financial firm LSEG, Cheniere Energy’s Sabine Pass plant in Texas, which is considered the country’s largest LNG facility, reduced its natural gas intake to 3.7 billion cubic feet per day (bcfd). This means that the intake is down from its maximum capacity of about 4.5 bcfd.

Meanwhile, Sempra’s Cameron LNG plant in Louisiana saw an even steeper drop, consuming just 1.3 bcfd compared with its typical 2 bcfd.

The combined slowdown at the two facilities dragged total U.S. LNG feedgas demand down to 14.7 bcfd, which is the lowest in roughly two months.

Market participants view such fluctuations as signals of operational disruptions, though neither company offered clarity.

Reuters reports that they reached out to Cheniere for a comment, but they declined. Sempra has not responded to the inquiry.

The news rippled through energy markets, nudging U.S. natural gas futures lower.

September contracts on the New York Mercantile Exchange slipped about 1%, dropping two cents to $2.90 per million British thermal units.

Sabine Pass and Cameron have been central to the U.S. rise as the world’s top LNG exporter since 2023, which means that even brief slowdowns carry outsized implications for global supply.

News of the drop comes as NextDecade Corp., a U.S. LNG developer, announced that it had secured up to $1.8 billion in equity commitments from companies to finance a fourth liquefaction train at its Rio Grande LNG export terminal located in Brownsville, Texas.

The expansion provides Gulf Coast access to global energy markets as well as increasing local jobs and tax revenues in the Brownsville region.