European LNG offtakers in 2023 are expected to continue the flurry of contracting activity that closed out 2022, as more import infrastructure comes online, larger buyers recapitalize and policies become clearer.

Europe LNG Capacity

Since November, European buyers including Engie SA, Galp Energia SGPS SA, Ineos Group Ltd. and RWE AG have signed deals to buy U.S. liquefied natural gas for 15 years-plus. During the same time, Trafigura Group Pte. Ltd secured a $3 billion loan backed by the German government to buy more gas for the country. ConocoPhillips also signed contracts with QatarEnergy to move more of the super-chilled fuel to Germany.

U.S. LNG projects are poised to benefit most from the contracting rush. Sponsors signed long-term agreements in 2022 to supply nearly 50 million metric...