Oil & Gas - Energy - Commodities - Resources (OILBRENT)

[Timothy Smith]

$LNG - Cheniere Energy’s (NYSEMKT:LNG) Sabine Pass terminal in Louisiana has received nearly 35.4B cf of natural gas for export since pipeline deliveries to the facility were first reported in October - with most of the volume arriving in the last six weeks - helping gas futures to rise 7% over the past month as the shipments limit the size of the current supply glut, Bloomberg reports.

Exports of liquefied natural gas are boosting bullish traders after a flood of production from shale formations sent futures falling to historic lows, and hedge funds are betting on rising gas prices for the first time since 2014 as cargoes from Sabine Pass boost demand, according to the report.

Cheniere’s gas demand so far this year has helped support prices by $0.05-$0.10 per MMBtu, says Kyle Cooper of Cypress Energy Capital Management, adding that while volumes are still relatively small, Sabine Pass total consumption will reach 200B cf or more by this time next year.