Energy Transfer, Shell Agree on Lake Charles Deal
Energy Transfer and Shell have signed a project framework agreement to advance the development of a large-scale export facility in Lake Charles, Louisiana toward a final investment decision (FID).
Lake Charles is a joint venture between Energy Transfer and Shell. If sanctioned, the project would convert Energy Transfer’s existing Lake Charles LNG import and regasification terminal to an LNG export facility with a liquefaction capacity of 16.45 mtpa. Shell will act as the project lead prior to FID and would serve as construction manager and operator of the facility after sanction. Energy Transfer will act as site manager and project coordinator prior to FID.
“We are pleased to be moving forward with Shell in progressing this major LNG export project,” Tom Mason, president of Lake Charles LNG, said in a statement. “We believe the combination of our assets and Shell’s LNG experience will create a platform for exporting natural gas from the Gulf Coast to the global marketplace that is unmatched.”
Shell said in a statement that the decision to sanction will be based on both companies’ assessment of the outcome of the engineering, procurement, and construction (EPC) bidding process, overall project competitiveness, and global LNG market conditions.
“Lake Charles presents a material, competitive liquefaction project with the potential to provide Shell with an operated LNG export position on the Gulf Coast by the time the global supply is expected to tighten in the mid-2020s,” said Frederic Phipps, Shell’s vice president for Lake Charles LNG. “Our partnership with Energy Transfer plays to our respective strengths.”
Venture Global Delays FERC Application Filing Date for Delta LNG
The move allows Venture Global further evaluate pipeline route alternatives that could reduce impacts in tidal marsh environments along the Mississippi River.
Saudi Aramco, Sempra Sign IPPA for Port Arthur LNG
The agreement comes 8 months after Saudi Aramco agreed to take a 25% ownership interest in the southeast Texas project. Phase 1 of the project is expected to produce 11 mtpa of LNG.
First Cargo Shipped From Freeport LNG Train 2
McDermott said the first cargo was a precursor to substantial completion of Train 2. The liquefaction unit began production on 6 December.
Don't miss out on the latest technology delivered to your email every two weeks. Sign up for the OGF newsletter. If you are not logged in, you will receive a confirmation email that you will need to click on to confirm you want to receive the newsletter.
08 January 2020
15 January 2020
07 January 2020
09 January 2020