U.S. Racks Up Massive Natural Gas Trade Surplus With Mexico
The United States also needs more LNG export facilities. There is only one operating export facility in the United States, at Sabine Pass in Louisiana. Environmental activist groups, the Obama administration, and liberal policymakers at the state and local level have blocked the construction of additional facilities. This is preventing U.S. energy companies from exporting clean-burning natural gas to nations around the world that would like to purchase U.S. natural gas.
The Australian published an article this week documenting a particularly compelling episode in which a tanker scheduled to deliver LNG to Portugal suddenly changed course and delivered its cargo to Mexico because Mexico offered a higher price. In an ideal world, U.S. energy producers could deliver natural gas to Portugal and Mexico (and many other nations that demand American natural gas).
American natural gas exports would also enhance global political stability and defund terrorism. Egypt, Saudi Arabia, and other Middle Eastern nations gave Qatar an ultimatum this week to stop funding Iran and terrorist groups like ISIS, Al Qaeda, Hamas, and the Muslim Brotherhood. Qatar exports more liquefied natural gas than any other nation in the world, with Asian nations like Japan and South Korea as its primary market. A U.S. LNG export facility on the West Coast could displace much of Qatar’s LNG market and starve the nation of the funds it delivers to terrorist groups. Nevertheless, the Obama administration last year blocked the construction of an export facility at Jordan Cove, Oregon. The Trump administration can reverse this decision, boosting the American economy and delivering a blow against global terrorism.
The future is bright for American natural gas exports to Mexico and elsewhere, so long as our politicians stop getting in the way.
[This article first appeared at Forbes.com.]