Wood Mackenzie estimates US LNG emissions at 48% of coal in Europe

A study by Wood Mackenzie concludes that liquefied natural gas exported from the United States to Europe generates on average half the emissions of imported coal, when considering the full lifecycle.

Share:

Subscribe for unlimited access to all the latest energy sector news.

Over 150 multisector articles and analyses every week.

For less than €3/week*

*For an annual commitment

*Engagement annuel à seulement 99 € (au lieu de 149 €), offre valable jusqu'au 30/07/2025 minuit.

Energy consultancy Wood Mackenzie has published a detailed comparative analysis of greenhouse gas emissions from US liquefied natural gas (LNG) and coal, revealing that LNG exported to Europe emits on average 48% of the emissions of coal, when considering the full lifecycle from production to combustion. This estimate is based…

Energy consultancy Wood Mackenzie has published a detailed comparative analysis of greenhouse gas emissions from US liquefied natural gas (LNG) and coal, revealing that LNG exported to Europe emits on average 48% of the emissions of coal, when considering the full lifecycle from production to combustion. This estimate is based on proprietary data supported by credible third-party sources and focuses on deliveries to north-western Europe, a major destination for US LNG.

Intensity differences related to extraction and transport

The observed differences are not solely due to the higher carbon dioxide emissions from coal combustion compared to natural gas. The study attributes a significant part of the gap to higher methane losses associated with underground mined bituminous coal from Appalachia. This type of coal is a common source for European imports. By comparison, emissions from US LNG delivered to China are around 63% of those from local coal, largely due to lower methane losses linked to surface-mined coal from Indonesia.

Characteristics of US LNG

Daniel Toleman, Research Director of Global LNG at Wood Mackenzie, noted that previous analyses may have underestimated certain technical aspects specific to US LNG. According to him, only 10% of gas intended for export originates from the Permian Basin, known for higher methane leakage. The majority comes from the Haynesville and Northeast basins, where a large portion of the gas is certified with methane intensities below 0.2%.

In addition, US liquefaction projects typically use more modern turbines, achieving average emission intensities more than 20% lower than the global average. Maritime transport also benefits from significant modernisation, with most LNG shipped on high-efficiency carriers, reducing environmental impact further compared to steam-turbine vessels.

Towards a common reference baseline

The study underscores the importance of objective assessment of LNG and coal emissions, calling for an approach based on empirical data. It uses a 20-year global warming potential for methane equivalent to 84 times that of carbon dioxide, consistent with recent scientific literature. According to Daniel Toleman, establishing a shared reference baseline is essential for enabling industrial and institutional stakeholders to effectively guide their decarbonisation strategies.

MCF Energy continues operations at the Kinsau-1A drilling site, targeting a promising Jurassic formation first tested by Mobil in 1983.
The group announces an interim dividend of 53 cps, production of 548 Mboe/d, a unit cost of $7.7/boe and major milestones on Scarborough, Trion, Beaumont and Louisiana LNG, while strengthening liquidity and financial discipline.
Norway’s combined oil and gas production exceeded official forecasts by 3.9% in July, according to preliminary data from the regulator.
Gunvor commits to 0.85 million tonnes per year of liquefied natural gas from AMIGO LNG, marking a strategic step forward for Asian and Latin American supply via the Guaymas terminal.
Black Hills Corp. and NorthWestern Energy merge to create a $15.4 billion regulated energy group, operating in eight states with 2.1 million customers and a doubled rate base.
The Pimienta and Eagle Ford formations are identified as pillars of Pemex’s 2025-2035 strategic plan, with potential of more than 250,000 barrels of liquids per day and 500 million cubic feet of gas by 2030.
Karpowership and Seatrium formalize a strategic partnership to convert floating LNG units, strengthening their joint offering in emerging mobile electricity markets.
Africa Energy strengthens its position in the gas-rich Block 11B/12B by restructuring its capital and reinforcing strategic governance, while showing a clear improvement in financial performance in Q2 2025.
Aramco finalizes a strategic agreement with an international consortium led by GIP, valuing its midstream gas assets in Jafurah at $11 billion through a lease and leaseback contract.
Moscow is preparing to develop gas turbines exceeding 300 MW while strengthening existing capacities and positioning itself against the most high-performing models worldwide.
Symbion Power announces a $700 M investment for a 140 MW plant on Lake Kivu, contingent on full enforcement of the cease-fire signed between the Democratic Republic of Congo and Rwanda.
After a prolonged technical shutdown, the Greek floating terminal resumes operations at 25% capacity, with near-saturated reserved capacity and an expanded role in exports to Southeast Europe.
The Australian gas giant extends due diligence period until August 22 for the Emirati consortium's $18.7 billion offer, while national energy security concerns persist.
AMIGO LNG has awarded COMSA Marine the engineering and construction contract for its marine facilities in Guaymas, as part of its 7.8 MTPA liquefied natural gas export terminal.
Petrus Resources reports a 3% increase in production in the second quarter of 2025, while reducing operating costs and maintaining its annual production and investment forecasts.
Jihadist attacks in Cabo Delgado displaced 59,000 people in July, threatening the restart of the $20 billion gas project planned for August 2025.
Cross-border gas flows decline from 7.3 to 6.9 billion cubic feet per day between May and July, revealing major structural vulnerabilities in Mexico's energy system.
Giant discoveries are transforming the Black Sea into an alternative to Russian gas, despite colossal technical challenges related to hydrogen sulfide and Ukrainian geopolitical tensions.
The Israeli group NewMed Energy has signed a natural gas export contract worth $35bn with Egypt, covering 130bn cubic metres to be delivered by 2040.
TotalEnergies completed the sale of its 45% stake in two unconventional hydrocarbon concessions to YPF in Argentina for USD 500 mn, marking a key milestone in the management of its portfolio in South America.
Consent Preferences