LNG exports from Trinidad and Peru losing steam
Trinidad and Peru are exploring new LNG markets as competition from Australia and the US ratchets up. (BP plc)
Tough times lie ahead for LNG exports from Trinidad & Tobago and Peru – the only two suppliers of the fuel in Latin America. The two countries are already facing challenges selling their LNG into an oversupplied market while demand tumbles in their home region. The business environment is deteriorating further because of upstream issues, low oil and gas prices, and weakening macroeconomics in both countries.
Falling LNG demand in Latin America is taking its toll on exports from Trinidad and Peru. Trinidad has been a key supplier to Argentina, Chile, the Dominican Republic and Puerto Rico, while the Manzanillo terminal on the Pacific coast of Mexico has been the main market for Peruvian LNG.