(Bloomberg) -- European companies hoping to buy US liquefied natural gas from major planned projects may just get left out in the cold.

The Biden administration on Friday imposed a moratorium on approving new licenses to export LNG from the US while it scrutinizes impact on climate, the economy and national security. The freeze could stall projects beyond 2027 that had lined up European customers such as Germany’s EnBW Energie Baden-Wuerttemberg AG or Securing Energy for Europe GmbH. 

“We are clearly entering an uncomfortable period for new US projects,” said Jean-Christian Heintz, independent LNG consultant. “First because of the Biden move, second because of the upcoming election and all its uncertainties.”

European utilities and traders have been snatching US LNG deals, including from the projects now at risk, as they replace pipeline gas from Russia, once its biggest supplier. The US is already the biggest and fastest growing supplier of the super-chilled fuel to Europe. 

The pause - which won’t affect previously granted authorizations - could have implications for more than a dozen proposals now awaiting review at the Energy Department, including ventures planned in Louisiana by Commonwealth LNG or by Sempra Energy’s expansion of the Port Arthur complex in Texas. 

The decision also gives a boost to Qatar, another major LNG exporter vying to supply Europe.

Read more: Qatar Signs Up Italy in Fresh Gas Deal With Europe Past 2050

Some of those supply deals were firm contracts, while others were non-binding, meaning buyers could be forced to search for alternative suppliers. The US has more planned LNG projects than any other nation, making the hunt more challenging as financing of new fossil fuel projects globally is under increasing scrutiny.

However, the impact on Europe could be limited as its buyers also have deals with other US suppliers whose projects are already under construction and not affected. 

“The market is likely to get oversupplied by 2027-28,” said Lujia Cao, an analyst at BloombergNEF. This is around the same time that Venture Global LNG’s CP2, Sempra Infrastructure’s Port Arthur 2, and Commonwealth LNG planned to come online if they get their final investment decisions this year, she said.

Japan’s Inpex Corp, one of the buyers from the CP2 project, said over email that the fuel would help “contribute to the stability of energy markets in Japan, Asia and elsewhere.” Ineos, which has a deal to buy larger volumes from the already approved phase 1 of Port Arthur, said the review wouldn’t impact that, but added that, “Europe will still require gas to replace coal.”

EnBW and SEFE didn’t immediately respond to emails seeking comment. The MET Group declined to comment.

--With assistance from Stephen Stapczynski and Ruth Liao.

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