QatarEnergy, Exxon Load First LNG Cargo From Golden Pass Terminal In Texas

QatarEnergy and Exxon Mobil Corp. (NYSE:XOM) loaded the first liquefied natural gas (LNG) export cargo from the Golden Pass terminal in Sabine Pass, Texas, on Thursday, marking a key commissioning milestone for the $10 billion-plus joint venture amid escalating Middle East tensions.

QatarEnergy, Qatar’s state-owned national petroleum company, manages all oil and gas activities in the country — including exploration, production, refining, and marketing of crude oil, natural gas, LNG and petrochemicals.

Golden Pass Hits Key Milestone

According to QatarEnergy, the cargo was loaded onto its LNG carrier Al-Qaiyyah, a 174,000-cubic-meter vessel built in South Korea. The terminal achieved its first LNG production from Train 1 on Mar. 30, out of a planned three liquefaction trains.

QatarEnergy holds a 70% controlling stake in the venture, while ExxonMobil owns the remaining 30%. Together, the partners committed over $10 billion to the project in 2019.

QatarEnergy President and CEO Saad Al-Kaabi said, “This is a significant industry milestone that marks a new chapter in QatarEnergy’s global efforts to meet rising LNG demand.”

Middle East Conflict Tightens Global Energy Supply

The milestone comes amid a turbulent backdrop. In mid-March, Iran launched missile strikes on Qatar's Ras Laffan LNG hub, the world's largest LNG production site, knocking it offline and tightening global supply.

Earlier, Goldman Sachs (NYSE:GS) warned the damage to Qatar’s LNG infrastructure could push global natural gas prices higher.

The war between the United States and Iran, which began in late February, is now entering its second month. The escalation has resulted in thousands of casualties and the destruction of key energy infrastructure. It has also disrupted the Strait of Hormuz, a vital waterway that carries about one-fifth of the world's oil.

In addition, the situation has derailed a potential peace agreement and continues to keep global energy markets under pressure.

Stock Data

Exxon Mobil closed on Wednesday at $149.50, up 0.77% for the day.

The stock has gained 21.89% year to date.

 Benzinga’s Edge Stock Rankings indicate that XOM is experiencing short-term consolidation along with medium and long-term upward movement.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.