Venture Global seeks US agreement to start commissioning of La. Calcasieu LNG


Oct. 22 (Reuters) – U.S. liquefied natural gas company Venture Global LNG on Friday asked federal regulators for permission to begin commissioning liquefaction systems at the Calcasieu Pass LNG export plant in Louisiana.

In a case filed with the United States Federal Energy Regulatory Commission (FERC), Venture Global said it has met the environmental conditions necessary to begin commissioning and has asked FERC to authorize the prosecution. no later than October 29.

Venture Global applied for permission to construct the project in September 2015 and received FERC approval to begin construction in February 2019.

The plant is expected to start producing LNG in test mode later this year before entering commercial service in early 2022.

Venture Global is installing 18 modular liquefaction trains at Calcasieu to produce approximately 10 million tonnes per year (MTPA) of LNG, which is equivalent to approximately 1.5 billion cubic feet per day of natural gas. Analysts estimate the plant cost around $ 4.5 billion.

In addition to Calcasieu, Venture Global has approximately 60 MTPA of LNG export capacity under development in Louisiana, including the 20-MTPA Plaquemines, which could begin construction later this year, the 20-MTPA Delta and the 20-MTPA CP2.

Several companies have entered into long-term agreements to purchase LNG from Calcasieu, including units of Royal Dutch Shell PLC (RDSa.L), BP PLC (BP.L), Edison SpA (EDNn.MI), Galp Energia SGPS SA (GALP. LS), Repsol SA (REP.MC) and Polish Oil and Gas Co (PGNiG).

Units of China Petroleum and Chemical Corp (600028.SS), or Sinopec, have also agreed to buy LNG from Venture Global as China, the world’s second-largest economy, seeks to secure its long-term energy supplies against a backdrop of soaring prices for gas and domestic electricity. shortages. Read more

Part of the LNG that Sinopec will buy could come from Calcasieu and part from Plaquemines. Venture Global has yet to officially announce the deal with Sinopec, but has discussed it in a Plaquemines file with the US Department of Energy.

Reporting by Scott DiSavino Editing by Chizu Nomiyama

Our Standards: Thomson Reuters Trust Principles.


Leave A Reply