Investing.com -- US liquefied natural gas projects face a competitiveness challenge as domestic natural gas prices continue to rise, according to Fulcrum LNG CEO Jesus Bronchalo.

Bronchalo made the remarks Tuesday during a panel discussion at Rice University's Baker Institute. He said natural gas prices are expected to increase further in the US, which is already among the most expensive locations globally for LNG production.

"Henry Hub is going to get to the point where it becomes too expensive or you are not going to be too competitive," Bronchalo said, referring to the US gas price benchmark.

Joshua Lubarsky, president of maritime firm Seapath Group, noted at the same conference that while the US ranks among the world's highest-cost LNG producers, its gas price dynamics provide stability that appeals to buyers.

The financing structure for US LNG projects is shifting, with growing reliance on private equity supported by government-backed sovereign wealth funds, said Julie Mayo, general counsel at Sempra Infrastructure.

Mayo pointed to Sempra's use of private equity funds for expansion as an example of the new financing approach for US LNG projects, moving away from traditional external loans.

Sempra operates as one of the largest US LNG exporters through its Cameron LNG facility and Port Arthur development.

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