LNG feedgas demand averaged 12.8 Bcf/d over the past week, the highest level since February. Freeport LNG's liquefaction facility is operating at 92% of its nameplate capacity of 2.3 Bcf/d following completion of scheduled maintenance. Cheniere's Sabine Pass and Corpus Christi facilities are at 95% utilization.
Total US LNG exports rose to 11.9 Bcf/d for the week, up 1.0 Bcf/d from May levels. European LNG imports remain strong as the continent continues its gas storage injection campaign ahead of winter. US LNG accounts for 46% of European gas imports.
Higher LNG exports provide demand support but are insufficient to close the storage gap. Even at the current feedgas rate of 12.8 Bcf/d, the injection season surplus continues to grow. To draw down the surplus by October, LNG feedgas would need to sustain 14+ Bcf/d for the next four months.
No new LNG liquefaction capacity is scheduled to come online until Plaquemines Phase 2 in early 2027. Near-term growth in LNG export capacity is capped at the current ~13 Bcf/d plateau, which limits the gas market's ability to export its way out of the storage surplus.
LNG demand provides a floor but not a rally catalyst. The storage surplus is simply too large to be absorbed by record LNG exports alone. Q4 gas procurement should be priced assuming continued surplus conditions, with $3.00-3.50 as the likely range into winter.