Cheniere LNG cargoes canceled amid U.S. export glut - Bloomberg

Feb. 21, 2020 11:04 AM ET| seekingalpha.com    |By: Carl Surran, SA News Editor

A buyer of liquefied natural gas has canceled two shipments from Cheniere Energy (LNG -1.8%), Bloomberg reports, as a global glut hits prices.

The canceled cargoes were to be loaded from Cheniere's Corpus Christi facility in Texas, according to the report.

Also, at least two Japanese buyers are said to be considering canceling cargoes from the U.S. that they had expected to load before summer.

Cancellations of U.S. cargoes have been highly anticipated amid the outlook on global prices, and the latest news could be an early sign that global oversupply is poised to hit the U.S. gas market, which already is straining under the weight of a domestic glut.

At the same time, the coronavirus outbreak in China has slammed LNG demand; while China has not directly imported any U.S. cargoes in more than a year due to trade tensions, the virus has contributed to the global price rout.