Freeport LNG plant was closed for 3 weeks due to the accident

Freeport LNG, the second-largest LNG plant in the United States in Texas, will be closed for at least three weeks due to the explosion, the administration said after assessing the damage.

As a result, prices for futures on natural gas on the Dutch TTF in the first hours of trading rose by almost 16%, up to 92.00 €/MWh, then prices fell down to 86.0 €/MWh, and growth was about 8%. Futures on the American Henry Hub, by contrast, have begun to decline, experts expect a decline from 8.70 $/MMBtu up to 6.00 $/MMBtu-7.00 $/MMBtu, as large volumes of gas will remain in the country, which will be able to meet market demand.

Freeport LNG's capacity provided about 20% of gas processing in the United States, with a total of three production lines with a total capacity of 15 million tons of LNG (20.7 bcm of gas) per year. In addition, the facility is in the process of adding a fourth line, which will increase capacity to 20 million tons of LNG (27.6 bcm of gas) per year.

The Freeport plant supplies gas to BP and Total in Europe, as well as to Japanese companies Jera and Osaka Gas, and SK E&S in Korea.