Cheniere Uses Measurement Technology to Set Low-Methane Emissions Target

Cheniere voluntarily set a measurement-supported Scope 1 annual methane-intensity target for its LNG liquefaction facilities: The company will maintain a methane-emissions intensity of 0.03% per ton of produced LNG across two Gulf Coast liquefaction facilities by 2027. The target leverages data from its quantification, monitoring, reporting, and verification projects, which include data from approximately 50 aerial measurements at liquefaction facilities conducted over a 16-month timeframe.

“Cheniere’s LNG plays a key role in meeting the world’s growing need for secure and reliable energy, while supporting the transition to a lower-carbon future,” said Jack Fusco, Cheniere’s President and Chief Executive Officer. “Our methane emissions intensity target reflects our commitment to leverage measurement-informed emissions data to improve the climate competitiveness of our LNG and ensure the long-term resilience of our business.”

Aerial methane measurement drone; image credit: JSSS

In addition, Cheniere’s emissions goal aligns with “Gold Standard” status under the United Nations Environment Program’s Oil & Gas Methane Partnership 2.0.

LNG Life Cycle Assessment

The company also updated its peer-reviewed LNG life cycle assessment (LCA) published in 2021. Its updated LCA finds that, across the board, Cheniere’s supply-chain specific greenhouse gas emissions intensity is lower than figures presented in the Department of Energy’s National Energy Technology Laboratory study, originally published in 2019. Cheniere’s new report was approved by a leading academic journal and will be published soon.

Cheniere’s Process

Cheniere’s general climate strategy uses a data- and science-based approach to identify and execute potential emissions reduction opportunities. It partners with suppliers in the LNG value chain, scientific experts, academic institutions, and customers to inform, understand, and improve the characterization of emissions performance and establish mitigation strategies across the supply chain.

News from Cheniere

In August 2024, Cheniere Marketing signed a long-term LNG sale and purchase agreement (SPA) with Galp Trading. Under the SPA, Galp will purchase approximately 0.5 mtpa of LNG for 20 years on a free-on-board basis—the purchase price is indexed to the Henry Hub with a fixed liquefaction fee. LNG deliveries, expected to begin in early 2030s, are subject to a positive final investment decision on the second train at the Sabine Pass Liquefaction Expansion Project. Galp will purchase a limited number of early LNG cargoes before Train Eight commences operation.

Earlier this year, select subsidiaries of Cheniere Energy Partners applied to the Federal Energy Regulatory Commission to site, build, and operate the SPL Expansion Project. They also sent an application to the Department of Energy, requesting authorization to export LNG to Free-Trade Agreement (FTA) and non-FTA countries. The SPL Expansion Project is being developed for up to 20 mtpa of LNG capacity.

And, in late 2023, Cheniere Marketing signed a long-term SPA with Foran Energy Group. According to the SPA, Foran Energy will purchase approximately 0.9 mtpa of LNG for 20 years. LNG deliveries will also begin at the start of commercial operation for the second train—Train Eight—at the SPL Expansion Project in Louisiana.