KEY POINTS
- Cheniere plans expansion under Trump’s pro-energy policies.
- Lower LNG prices and market shifts impact the 2025 profit outlook.
- Corpus Christi expansion aims to boost production and stabilize revenue.
Cheniere Energy, the top U.S. liquefied natural gas (LNG) exporter, is gearing up for expansion under President Donald Trump’s pro-energy policies.
CEO Jack Fusco said the company plans to secure regulatory permits to ensure long-term growth at its Sabine Pass and Corpus Christi export terminals in Texas.
With Trump lifting restrictions on LNG exports, Fusco sees an opportunity to double Cheniere’s production capacity to 90 million metric tonnes per year.
“This administration is prioritizing energy growth, and we need to seize the moment to secure our future,” Fusco said.
Trump’s recent energy emergency declaration aims to reduce regulatory hurdles and boost U.S. energy exports, aligning with Cheniere’s expansion goals.
Market challenges impact Cheniere’s financial outlook
Despite favorable LNG market conditions, Cheniere’s 2025 profit forecast fell short of analyst expectations.
According to Reuters, the company projects adjusted core earnings between $6.5 billion and $7 billion, lower than the $6.83 billion average estimate.
A decline in LNG prices, lower-than-expected demand in Europe, and accounting adjustments have contributed to the financial downturn.
The financial performance of Cheniere for 2024 presented a 67 percent decrease in net income and a 23 percent contraction in revenue when compared to 2023 results.
However, TD Cowen analysts predict LNG demand will recover throughout the year, which might bolster their financial forecast.
Corpus Christi expansion to drive future growth
Despite recent setbacks, Cheniere remains optimistic about its Corpus Christi Stage 3 expansion project, which is ahead of schedule.
The company produced its first LNG from the expansion in December and delivered its first cargo in February 2025.
Once fully operational, the facility will add up to 2 million metric tonnes of LNG annually.
Cheniere is also banking on long-term sales agreements, including a recent deal with Indian Oil Corp, to stabilize revenue and expand its global customer base.
U.S. LNG consumption in Europe will remain strong even if geopolitical tensions decrease because the region needs increasing production capabilities.
Fusco reaffirmed Cheniere’s commitment to fulfilling global LNG demand needs, beyond environmental worries regarding methane emissions from LNG infrastructure.
“We believe LNG plays a key role in transitioning from coal to cleaner energy,” he said.
