Cheniere primarily sources its natural gas from the expansive and highly developed North American gas market. This market is renowned for its efficiency and reliability, providing a consistent supply for Cheniere's operations.
Sourcing from the North American Gas Market
Cheniere acquires natural gas directly from this well-established market. This strategic sourcing location ensures access to a vast and readily available supply of natural gas, essential for the company's large-scale liquefied natural gas (LNG) production.
The North American gas market is characterized by several key features that benefit Cheniere's operations:
- Robust Infrastructure: The market is supported by an extensive network of pipelines, storage facilities, and production sites across North America. This robust infrastructure facilitates efficient and reliable transportation of natural gas from various production basins to Cheniere's liquefaction terminals.
- Transparent Pricing: Natural gas prices within the North American market are openly reported and accessible. This transparency allows for clear market visibility, enabling fair and competitive pricing for large-volume purchases.
- High Liquidity: The market experiences a significant volume of buying and selling activity. This high liquidity means that natural gas can be easily traded without causing major price fluctuations, providing Cheniere with flexibility and stability in its procurement processes.
From Gas to Global LNG
Once the natural gas is acquired, Cheniere processes it into LNG at its state-of-the-art liquefaction terminals. This transformed LNG is then offered to customers, who have the option to load it onto their vessels at Cheniere's terminals. Alternatively, Cheniere can arrange for the delivery of the LNG to various regasification facilities located around the world, connecting North American gas supply to global energy demand.
