Sierra Magazine : Trump’s LNG Strategy Makes No Sense

According to a new Sierra Magazine piece, President Donald Trump is promising that a massive expansion of U.S. liquefied natural gas (LNG) exports will lower gas prices and boost the American economy. But recent research suggests a different story: The real winners will be foreign investment firms, not American consumers. A research brief from the Private Equity Stakeholder Project (PESP) exposes just how much of the LNG industry is already controlled by international investors—and how little of its profits will actually benefit U.S. households.

Trump’s LNG Strategy Makes No Sense: President Trump says increasing liquefied natural gas exports will lower gas prices. He’s got it all backward.

According to PESP’s research, 78 percent of peak U.S. LNG export capacity in 2023 was financed by just 14 investment firms from eight foreign countries. Major LNG export terminals in Texas, including Golden Pass and Freeport LNG, are largely owned by entities in Qatar, Australia, and Japan. The Driftwood LNG terminal is entirely controlled by the Australian firm Woodside Energy, while companies from Canada, France, the UAE, and Saudi Arabia hold substantial stakes in other U.S. LNG facilities.

“Trump says LNG terminals existing on U.S. soil will generate some positive impact on the economy, [but] this is obviously an oversimplification of the LNG market,” said Nichole Heil, a researcher at PESP and author of the LNG report. “We’re seeing more and more foreign investment in U.S. LNG projects, which will divert profits away from U.S. companies.”

Trump’s narrative that LNG exports will trickle down to everyday Americans is equally flawed. As Heil pointed out, “Any profits will go to firms like QatarEnergy, while even everyday people who invest in the stock market are not really going to see financial gains from any potential LNG profits.”