A large-scale liquefied natural gas (LNG) production facility in Texas has been shut down for at least three weeks after an explosion and subsequent fire. According to the Freeport LNG operating company, there were no injuries and the fire is under control.
The facility is located on the Gulf Coast of the US state. An LNG tanker anchored there was moved to a safe distance. News of the explosion caused US natural gas futures to drop about 6 percent. The outage is likely to lead to a drop in demand in the US market.
The Freeport facility can process up to 2.1 billion cubic feet per day (bcfd) of natural gas for export by ship in the form of a refrigerated liquid. Before the explosion, it pulled about two bcfd from the incoming pipeline. This amount would be enough to supply ten million American households for one day. The facility is used by several companies, including divisions of BP, Jera, Kansai Electric, Osaka Gas, SK E&S and Total.
Demand has increased since the war in Ukraine
Global demand for liquefied natural gas has increased significantly since the Russian invasion of Ukraine. European countries in particular are trying to reduce their dependence on Russian energy sources.
Source: Krone
I’m Wayne Wickman, a professional journalist and author for Today Times Live. My specialty is covering global news and current events, offering readers a unique perspective on the world’s most pressing issues. I’m passionate about storytelling and helping people stay informed on the goings-on of our planet.
