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Fire at Key US Gas Export Terminal Hurts Fuel-Starved Europe

  • Freeport LNG issues force majeure to buyers for rest of June
  • Terminal handled almost a fifth of LNG exports from US in May
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WATCH: A fire breaks out at a Texas LNG terminal.Source: Bloomberg
Updated on

An explosion at a Texas liquefied natural gas plant will cut exports for weeks, briefly lowering prices for the fuel in the US while boosting them in Europe. 

The Freeport LNG export facility will remain closed for at least three weeks after a fire on Wednesday, a company spokesperson said. It issued a force majeure to buyers with shipments scheduled till at least June 30, according to traders with knowledge of the matter. Almost one-fifth of all overseas shipments of gas from the US went via the terminal last month.