Three years after Cheniere Energy’s Sabine Pass in Louisiana made history by exporting the first shipment of liquefied natural gas from the continental United States, the Houston Chronicle reports, energy insiders are debating whether an LNG bubble is developing around the many projects scheduled to come online over the next 10 years.
Worldwide, the oil and gas industry has enough projects in the works to almost double global LNG production by 2030, with much of that growth focused along the Texas and Louisiana Gulf Coast. But some analysts are skeptical about whether the demand is there to support them all.
“There’s a fairly significant divide about the degree people might be overbuilding,” Jason Feer, the Houston-based global head of business intelligence at Poten & Partners, a shipping advisory firm, tells the Houston Chronicle. “My take is some people are wildly optimistic about demand. We found this wide range of forecasts, some of them physically impossible.”
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