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The US was a net importer of natural gas just seven years ago. Today, it's a top exporter.
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In contrast, Europe is now facing an energy crunch in part due to under-investment in fossil fuels.
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The crisis is sparking a rethink of the world's transition to green energy.
For decades, Europe has been able to keep the lights on by relying on cheap natural gas piped in from Russia.
Today, Europe's energy security is under threat. The continent is under pressure to cut Russian natural gas amid criticism that it's funding the war in Ukraine. Russian President Vladimir Putin has also threatened to cancel existing energy contracts if payment isn't made in rubles, a move that could be a breach of sanctions.
But US President Joe Biden in March promised to deliver more liquefied natural gas (LNG) to Europe this year to help with the energy crisis — a move that could potentially provide some relief to Europe and solidify America's role as a leading natural gas exporter in today's market.
America's position of strength in the gas industry stands in contrast to Europe's vulnerability in the continent's energy security. Here's how the two got there.
US turned to shale as Europe turned to renewables
It wasn't too long ago that the US had to import much of its natural gas. In 2007, America's natural gas imports peaked, according to the US Energy Information Administration.
Less than two decades later, the US has become a net exporter of LNG, the supercooled version of the fuel that can be transported on ships. The shift can largely be attributed to the US' large-scale deployment of fracking technology, which led to a revolution in shale gas production. The US is now jostling for position with Qatar and Australia as the world's top LNG exporter.
The US' development of the natural-gas market came amid a worldwide shift from coal to cleaner fuels. Even though natural gas is a fossil fuel, it's seen as a relatively clean one when compared to coal and oil.
In contrast, natural gas output from Europe and the UK fell by more than half from 2010 through 2020 due to depletion and a conscious effort to phase out the fossil fuel. Environmental concerns also contributed to a fall in exploration activity in the North Sea and against fracking, which has been banned in some countries.
"At the same time, Russian natural gas was easily available and inexpensive so as these countries began turning from coal and nuclear, they increased their natural gas usage," Matthew Pitzarella, a coleader of the energy industry team at law firm Buchanan Ingersoll Rooney, told Insider.