Gas flows to Freeport LNG dropped in May — Reuters

Natural gas flows to the Freeport LNG export plant in Texas dropped on Wednesday. This is likely to lead to a reduction in liquefied natural gas (LNG) production, Reuters reports.

Freeport is the third-largest LNG export facility in the US and helps the country maintain its position as the world's top supplier of the super-chilled fuel, the news agency notes. The plant has a daily gas capacity of 2.2 billion cubic feet and an annual LNG production volume of 16.3 million tons.

A halt in operations at this facility could trigger price fluctuations in the global commodities market. When fuel flows to Freeport decline, US energy prices typically drop due to reduced demand from the plant. Meanwhile, LNG prices in Europe tend to rise as the facility’s supply to global markets shrinks, the news agency clarifies.

Last Friday, Freeport LNG experienced a temporary power outage. According to company representatives, the incident was caused by a malfunction in the plant's compressor system.