This could be the reason :----

https://www.ft.com/content/28cebe24-57f6-11ea-a528-dd0f971febbc

Cheniere faces buyer reluctance over long-term LNG contracts

America’s largest exporter of liquefied natural gas says it is struggling to sign long-term contracts with potential buyers as a result of turmoil in the market, throwing into question plans to expand its export facility on the Texas coast.

The comments on Tuesday from Cheniere Energy highlighted mounting problems for the more than a dozen companies vying to export more LNG through US ports.


LNG prices have plunged because new processing facilities have increased supply just as a warm northern hemisphere winter has crimped demand.

Buyers are happy to snap up the supercooled fuel as needed on the international spot market rather than lock themselves into 15- or 20-year deals.

“Whether it be the coronavirus or a warm winter, the whole sense of urgency from the customers who sign long-term contracts has dropped,” Jack Fusco, chief executive, told analysts as Cheniere reported fourth-quarter results.

The company indicated it could delay a decision on a mooted “stage three” expansion of its export facility at Corpus Christi, Texas. Binding contracts are critical to obtaining loans for the project.