Wood Mackenzie: Golden Pass LNG project delay to impact global gas markets with removal of new supply

“We have revised our forecast start-up for Golden Pass LNG by six months to December 2025,” said Mark Bononi, Principal North America Gas and LNG Asset Research at Wood Mackenzie. “Specifically, we have pushed back first exports from Train 1 from June 2025 to December 2025. Similarly, we postponed first exports from Train 2 from December 2025 to June 2026, and Train 3 from June 2026 to December 2026 – keeping a six-month window between the start-up of the trains.”

According to Wood Mackenzie, this delay will remove 2.3 million tpy and 5.2 million tpy of growth from its forecast of supply in 2025 and 2026, respectively, equivalent to about 320 million ft³/d and 725 million ft³/d of feedgas in 2025 and 2026.

“A full year’s delay (from our previous view), which remains a risk, would result in a decrease of 10 million tpy in our global LNG supply forecast for 2026 and a reduction of 5 million tpy for 2027,” added Bononi. “Because of its size, Golden Pass LNG’s deferment could briefly impact global LNG prices and US natural gas production and prices. Depending on the project’s construction, there remains risks of further delays at Golden Pass LNG, and it could signal challenges to other US LNG projects.”

Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/05082024/wood-mackenzie-golden-pass-lng-project-delay-to-impact-global-gas-markets-with-removal-of-new-supply/