By Scott DiSavino

(Reuters] – After Russia invaded Ukraine, the United States (the world’s largest producer) wants to ship more liquefied gas (LNG), to Europe.

According to sources familiar with this matter, Joe Biden (the U.S. President) promised that his country would ship at least 15 million cubic meters (bcm), more LNG than it had previously planned.

This amount, 15 billion cubic metres (bcm), converts into approximately 1.5 billion cubic feet daily (bcfd). One billion cubic feet of water is sufficient to heat five million U.S. houses for one day.

WHAT TYPES OF LNG DO THE UNITED STATES EXPORT TO THE UNION?

United States has the ability to supercool approximately 12.7 billion cubic feet of natural gas into liquid that can be transported by tanker.

With a capacity of 12.7 bcfd, the seven U.S. export LNG plants are now liquefying gas at approximately 12.7 bcfd. No matter what global price rises, U.S. LNG export plants are unable to produce more LNG at this time.

According to Rystad Energy data, 24% or approximately 2.4 billion cubic feet of U.S. LNG exports were sent to Europe in 2021.

Already, the United States has provided an extra 0.8 BCFd in January-February compared with the same time last year.

According to Rystad Energy vice president Sindre Knutsson in a memo, “The U.S. may easily surpass that 15 bcm (15 bcfd target), as European price signals are likely to far exceed Asian spots prices.”

As more of Venture Global LNG’s Calcasieu Pass, Louisiana export plant enter service, the U.S. processing capacities were expected to grow to 13.1 bcfd at the end 2022.

EUROPE IMSPORTS RUSSIA FROM WHAT?

Russia was able to produce 67.9 bcfd gas and export 24.4 bcfd. Of this, almost 75% (or 18.3 bcfd), went to Organization for Economic Co-Operation and Development(OECD) European countries. The OECD, a group of rich countries, is a club.

SO, CAN THE UNITED STATES GET MORE GAS TO EUROPE?

But it wouldn’t be as much as Russia sends to Europe. It will also largely require rerouting existing shipping.

Analysts at Goldman Sachs (NYSE) stated that they expect “near-term” measures to help European LNG imports. They will rely on reallocations of existing supply.

Senior U.S. officials said that the efforts will be made with both consumers and producers around the world to send shipments to Europe.

Goldman Sachs claimed that “such an influx to Europe has already begun” since European gas prices were among the highest around the globe for the past few weeks.

According to analysts, governments could find ways to help tankers continue to travel to Europe. Short-term subsidies could be provided by governments to allow European utilities to pay higher for LNG cargoes. Or, the government could give extra money to shippers in order to get more cargoes delivered to Europe.

The European LNG terminals are not able to take additional supply from America or any other major producers in case Russia’s gas is interrupted.