US agency approves ST LNG deepwater port in Texas
Approval of a new LNG deepwater port can expand natural gas liquefaction/export capacity and shift LNG flows.
Source →The trace
How it reaches your house.
Starting from Freeport LNG Development LP, we walked the supply graph hop by hop to the goods you buy and the companies you own. Each step is the engine’s reasoning, scored for confidence and cited where a source backs it.
First impact
LNG peak-shaving and import facilities →Prices riseThe approved ST LNG port expands U.S. LNG export capacity, pulling more gas into liquefaction/export and making this critical feed input scarcer and more expensive for LNG peak-shaving/import facilities.
78% confidenceLNG peak-shaving and import facilities →Prices riseBecause 55% of this node's supply is tied to the United States, a new Texas export outlet is likely to tighten U.S.-origin supply for this facility type and lift its input cost.
70% confidenceFreeport LNG Development LP →Prices riseST LNG’s approval adds future U.S. LNG export capacity, which can tighten domestic natural gas balances and raise the price of Freeport LNG’s feedstock, though the effect is delayed and indirect.
Hop 2
Natural gas (home) →Prices riseNatural gas wellhead production
More LNG export capacity raises demand for domestic feedgas, tightening the wellhead market and lifting upstream gas prices.
83% confidenceNatural Gas (Pipeline-Grade, >95% Methane) →Stands to benefitThe Texas LNG port approval directly supports U.S. gas supply by expanding export demand, and the U.S. has the largest listed supply share on this edge.
80% confidenceNatural Gas (Roasting Fuel) →Stands to benefitA Texas LNG port approval should increase domestic LNG offtake and demand for U.S.-sourced gas, so the largest listed supply source for this input benefits.
Hop 3
Natural gas wellhead production →Stands to benefitApproval of a Texas LNG export port should lift demand for U.S. wellhead gas, and the United States is the largest supply-share holder on this node.
78% confidenceNatural gas wellhead production →Stands to benefitAs a sizable gas producer in this supply node, EQT should gain from higher LNG feedgas demand and firmer wellhead pricing.
69% confidenceNatural gas wellhead production →Stands to benefitHop 4
Kinder Morgan, Inc. →Stands to benefitInterstate natural gas transmission pipelines
A new Texas LNG export port should raise demand for interstate pipeline capacity feeding Gulf Coast exports, and this dependency is large at 40% share with a 120-month replacement lead time.
63% confidenceWilliams Companies, Inc. →Stands to benefitInterstate natural gas transmission pipelines
A new Texas LNG export port should raise gas-throughput demand on interstate transmission systems feeding Gulf Coast export terminals, and Williams has a large, hard-to-substitute 30% exposure to this input.
58% confidenceKinder Morgan, Inc. →Stands to benefit