Reuters: US LNG exporters seek to renegotiate deals to cover rising costs

March 10, 2025

Overall, liquefaction fees for U.S. LNG projects are on a path to rise above $2.50/mmBtu due to a tight labor market, rising construction costs and stubbornly elevated interest rates, brokerage Poten and Partners said in a recent report to clients. Higher liquefaction fees could hurt the cost-competitiveness of U.S. LNG projects, especially if coupled with an increase in U.S. natural gas prices and or a drop in Brent crude oil prices, Poten warned. “On top of a labor shortage, inflation is driving up the price of equipment and materials,” Poten said. To read the full article, please click here.