The US surpassed all other countries to become the world's leading exporter of LNG in first-half 2023, the US Energy Information Administration (EIA) said, citing CEDIGAZ data.
As indicated by data from the US Department of Energy, US LNG exports averaged 11.6 bcfd during first-half 2023, marking a 4% increase (0.5 bcfd) compared with the same period in 2022.
Australia secured its position as the second-largest LNG exporter worldwide in first-half 2023, with an average export volume of 10.6 bcfd, closely followed by Qatar at 10.4 bcfd.
The significant growth in US LNG exports can be primarily attributed to the resumption of Freeport LNG's operations, coinciding with robust global demand for LNG, especially in Europe.
Like in 2022, EU countries (Europe) and the UK remained the main destination for US LNG exports in first-half 2023, accounting for 67% (7.7 bcfd) of total US exports. Five countries—the Netherlands, the UK, France, Spain, and Germany—imported more than one-half (6 bcfd) of total US LNG exports.
In April, US LNG exports reached an all-time high, hitting a monthly record of 12.4 bcfd. This surge was fueled by increased LNG production at Freeport LNG and a growing demand from Europe and the UK.
Regasification capacity in Europe and the UK continues to expand in 2023 as new terminals come online in Finland, Germany, Italy, and Spain, allowing these countries to import more LNG. After a mild winter, Europe and the UK end the 2022-23 heating season with the most natural gas in storage on record, and the region continued importing LNG rapidly to refill its storage inventories in the spring and summer.
Notably, for the first half of this year, Europe and the UK saw LNG imports surpass pipeline imports, marking a historic shift. According to data from Refinitiv Eikon, LNG imports to Europe and the UK averaged 15.9 bcfd in first-half 2023, exceeding pipeline imports from all sources by 0.1 bcfd. Europe and the UK’s LNG imports peaked in April 2023 at 18 bcfd and remained above natural gas imports by pipeline from April through June 2023. In comparison, in 2022, LNG imports to the region averaged 14.9 bcfd annually, 28% lower than natural gas imports by pipeline.
