Cheniere Energy Inc (LNG) Sees Huge LNG Growth in Asia as Qatar Struggles

Cheniere Energy Inc (NYSE:LNG) is among the must-buy non-tech stocks to invest in now. On March 27, Reuters reported that Cheniere Energy’s fifth processing unit at the Corpus Christi LNG ( liquefied natural gas) plant in Texas had begun operating at full capacity.

Cheniere has been working to expand its Corpus Christi facility with seven additional processing units to boost its LNG export capacity by 10 million metric tons per year. According to the report, the new processing unit, called Train 5, will boost ​output by around 1.5 million tons a year. Cheniere is working to complete the remaining ​two units in the Corpus Christi expansion project.

Texas-based Cheniere is America’s largest LNG exporter. According to Reuters, the attacks on Qatar’s LNG facilities during the Iran war has affected the global supply of LNG, considering that Qatar is the world’s largest producer of LNG. This has resulted in shortages in Asia, and so Cheniere is looking to send more cargoes to that region, according to the report. It may take up to five years for QatarEnergy to restore its LNG output lost due to the attacks on its facilities.

In a separate Reuters report on March 25, Cheniere CEO Jack Fusco said he expected LNG growth to come from Asia, even though Europe remained the market of choice. According to the executive, Cheniere has sent 1,600 cargoes to Europe since Russia invaded Ukraine in 2022.

On March 24, Wolfe Research lifted its price target on Cheniere stock to $315 from $270 while reiterating an Outperform rating on the stock. According to the equity research firm, the Iran war reinvigorates the growth story for Cheniere.

Cheniere Energy Inc (NYSE:LNG) is an American energy company focused on the liquefied natural gas (LNG) business. The company owns and operates liquefied natural gas production, storage, and transport facilities. With major facilities in Louisiana and Texas, Cheniere primarily serves international markets.

READ NEXT: 8 Best Small-Cap Value Stocks to Buy According to Analysts and 13 Best Stocks to Invest in for Good Returns.

Disclosure: None. Follow Insider Monkey on Google News.