US LNG producer Cheniere Energy has delivered 70% of the volumes it has produced in the year to date to Europe, the company said in its third-quarter results presentation today.
Cheniere said it exported 156 cargoes during the quarter, up on the 141 shipped in 2021 bringing the tally for the nine-month period to 472, compared to 413 in the same period a year earlier.
The company said that since June 2022 its subsidiaries have signed new long-term contracts for over 60 million tonnes of LNG for periods that run through 2050.
It referenced deals with PetroChina and Thailand’s PTT.
PetroChina is buying 1.8 million tonnes per annum on a free-on-board basis that will begin in 2026, ramp up to the full volumes in 2028 and continue through 2050. PTT has signed up to purchase 1 mtpa of LNG in a combination of FOB and ex-ship deliveries over a 20-year period from 2026.
Cheniere more than doubled its revenues for the quarter year-on-year up at $8.9bn from $3.2bn in 2021.
In the nine-month period Cheniere’s revenue shot up to $24.3bn from $9.3bn a year earlier.
But the company more than doubled its net losses, up to $2.4bn for the third quarter and $1.1bn for the nine-month period compared to $1.1bn and $1.0bn in the corresponding periods of 2021.
Cheniere said the red ink was primarily due to an increase in derivative losses.
For the nine-month period of 2022, the increased loss reflects a lower contribution from margins on sale of physical gas compared to the previous year. These were partially offset by increased margins and volumes on delivered LNG and a lump sum payment relating to an early termination of an agreement with Chevron.
The company repaid over $1.3bn of long-term debt during the quarter and bought back some 0.6m of shares for around $75m.
Cheniere said in October it achieved substantial completion of the third marine berth at its Sabine Pass LNG terminal.
In the same month, Cheniere also joined the United Nations Environment Programme’s Oil and Gas Methane Partnership 2.0. This is a measurement-based reporting framework intended to improve the accuracy and transparency of methane emissions reporting in the oil and gas sector.
The company said this is consistent with and enhanced its climate strategy initiatives, including the Company’s collaborative programs to quantify, monitor, report, and verify greenhouse gas emissions across the supply chain with natural gas suppliers, midstream companies, shipping companies, and academic institutions.
Cheniere president and chief executive Jack Fusco said the company’s team “continued to fire on all cylinders” throughout the third quarter and expressed confidence in a “strong finish” to 2022 and “optimism” for 2023.
Cheniere operates two liquefaction plants. Sabine Pass LNG produces 30 mtpa from six production trains.
The company’s three-train Corpus Christi LNG currently produces 15 mtpa of LNG and has a 10 mtpa Stage 3 expansion project consisting of seven midscale trains under construction.
Cheniere is also developing a 3-mtpa, two-train project on the Corpus Christi site which is currently going through permitting.
