Freeport LNG Development LP said Tuesday it does not expect its Texas export facility to be fully repaired for months after an explosion knocked the plant offline last week.

The company is now targeting late 2022 for a return to full service instead of the initial guidance of three weeks. Given that the explosion and fire that knocked the plant offline were contained to a small area, partial operations could begin in 90 days, said Freeport LNG Development LP. The announcement sent U.S. natural gas futures tumbling.

The July New York Mercantile Exchange gas futures contract dropped $1.402 to $7.207/MMBtu at around 10 a.m. ET when Freeport’s update was issued. The contract hit an intraday low of $7.008/MMBtu and finished $1.42 lower at $7.189. The European benchmark Title...