Gulf LNG Liquefaction Co. (GLLC) and Gulf LNG Energy (GLE) filed with the Federal Energy Regulatory Commission (FERC) for approval to build and operate new natural gas liquefaction and export facilities at GLE’s exisiting LNG regasification terminal in Mississippi, a press release said June 19.
The regasification terminal is in Jackson County, Miss., near Pascagoula.
Minor modifications will be made to pipelines that interconnect with the terminal under GLP’s blanket authorization from FERC. The applicants requested that FERC grant authorization of the requests no later than June 17, 2016.
The project could cost about $8 billion, subject to long-term customer commitments. A single LNG train in phase one could cost about $5 billion, and a second train in phase two could cost about $3 billion.
In phase one, one liquefaction train will have about 5 million tonnes per annum (mtpa) of base LNG production capacity.
The LNG produced by this train will be stored in the two existing LNG storage tanks, which can handle 320,000 cubic meters of LNG, equal to 6.6 billion cubic feet (Bcf) of natural gas. The LNG will be loaded onto ships at the existing dock.
In phase two, a second train of identical size can handle 10mtpa. GLLC’s experts said this could be exceeded by more than 10% when the project is in service. In-service for phase one is scheduled for the fourth quarter 2020, and in-service for phase two is scheduled for the fourth quarter of 2021.
The peak capacity at the terminal will be 11.5mtpa. The average expected send-out rate will be about 1.5Bcf/d of LNG.
The Gulf LNG terminal will become bidirectional because it will still receive, store, regasify and deliver natural gas into the interstate pipeline system, the press release added.
The U.S. Department of Energy (DOE) Free Trade Agreement (FTA) export authority was received. Non-FTA authority is pending. The DOE approved export of 11.5mtpa of LNG on June 15, 2012. In August 2012, GLLC sought DOE approval to export the same volume of LNG to non-FTA countries, the press release said.
Hundreds of jobs in Jackson County and Pascagoula will be created during construction, the press release said.
Gulf LNG Holdings Group LLC owns GLLC, GLE and GLP. Gulf Holdings is owned by Southern Gulf LNG Co., a Kinder Morgan Inc. company. Houston-based Kinder Morgan Inc. is North America’s largest energy infrastructure company.
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