September LNG imports to Latin America reach highest monthly level this year

Latin American and Caribbean LNG imports in September rose by nearly 6% from August partly driven by rising demand from Brazil and Colombia, data from S&P Global Commodity Insights showed Oct. 3.

The region imported 69.81 Bcf of LNG in September, compared with 65.9 Bcf in August, marking the highest monthly import level so far this year.

Volumes were nearly 44% higher than the 48.53 Bcf imported in September 2023 and almost 116% higher than the 32.44 Bcf imported in September 2022.

Brazil led the region’s monthly imports for the first time since February, with 20.80 Bcf, a 104% increase from 10.22 Bcf imported in August.

The September import volumes arrived in Brazil on six cargoes of varying sizes, the same number of cargoes imported in August, Commodity Insights data shows.

Brazil's September imports were the highest since January 2022, when around 20.87 Bcf of LNG were delivered.

Three of the cargoes delivered to Brazil in September were imported to the Petrobras-operated Bahia terminal in Northeastern Brazil, while the Edge-operated São Paulo regasification terminal, the GNA-operated Porto de Açu regasification terminal, and the Karpowership-operated facility in Sepetiba Bay each imported one cargo.

Most of Brazil’s appetite for LNG import has been driven by domestic demand for gas-fired power due to lower levels at the country’s hydropower reservoirs.

Colombia imported the second-largest volume of LNG in September with 14.13 Bcf, up from 5.32 Bcf in August. This marks the highest monthly import level ever recorded by Commodity Insights, for data between 2016 and 2024. Colombia's SPEC terminal in Cartagena, the country's sole LNG import facility, started operations in 2016.

Like Brazil, Colombia’s hydropower reserves are currently at lower-than-average levels.

The useful volume of Colombia's hydropower reserves averaged 50.19% in September, the lowest recorded for that month, according to the latest data from Colombia’s power grid operator XM.

The Dominican Republic was third with 8.90 Bcf, up from 7.06 Bcf in July. This was the largest volume Brazil has imported this year and the highest since November 2022. Demand for LNG in Brazil has increased amid lower hydropower levels, driving demand for natural gas-fired power generation, multiple market sources said.

Mexico was the fourth largest LNG importer in the region in September with 6.95 Bcf, up from 6.22 Bcf in August. One of the cargoes imported to Mexico was the first partial cargo exported from New Fortress Energy’s Altamira terminal on the Mexican Gulf Coast, which was delivered to the company’s La Paz terminal in Mexico’s Pacific Coast.

Other LNG importers in September included Chile with 6.86 Bcf, Jamaica with 3.54 Bcf, and Puerto Rico with 3.49 Bcf. El Salvador imported 3.39 Bcf, while Panama imported the lowest volumes at 1.76 Bcf. Except for El Salvador, these eight countries were also LNG importers in August.

Nearly 70.2% of the total September imports to the region were sourced from US export plants, totaling 48.98 Bcf. Another 10.30 Bcf of LNG, or nearly 14.8% of total imports, came from Trinidad and Tobago's Atlantic LNG facility. An additional 2.84 Bcf of September imports were exported from Nigeria, while Indonesia contributed with 2.80 Bcf. Marking its first time as an LNG exporter, Mexico contributed with 1.31 Bcf of the region’s imports. Additionally, another 3.58 Bcf imported to the region in September were re-exported from Chile’s Quintero terminal.

LNG imports to the region are expected to remain strong in October, driven by Brazilian demand, as well as potential continuing demand from Colombia.

Platts, part of Commodity Insights, assessed DES Brazil for LNG deliveries 15-45 days forward at $12.818/MMBtu on Oct. 3, up 32.30 cents/MMBtu on the day.