LNG stocks jump after European Union agrees to massive U.S. energy purchases

Shares of liquified natural gas (LNG) companies jumped Monday after the European Union agreed to purchase $750 billion of energy from the U.S.

LNG exporters Cheniere and Venture Global were up about 3% and more than 4%, respectively. NextDecade and New Fortress Energy, which build LNG infrastructure, jumped more than 2% and about 3%.

EU President Ursula von der Leyen said the purchases would help reduce the bloc’s dependence on Russia for natural gas.

“Purchases of US energy products will diversify our sources of supply and contribute to Europe’s energy security,” Von der Leyen said in a statement over the weekend. “We will replace Russian gas and oil with significant purchases of US LNG, oil and nuclear fuels.”

The energy purchases are part of a broader trade deal stuck between the EU and the U.S. over the weekend. The deal imposes 15% tariffs on EU exports to the U.S. In addition to the energy purchases, Brussels has agreed to invest $600 billion in the U.S. above current levels.

President Donald Trump said “energy is a very important component” of the deal during a meeting with von der Leyen on Sunday.