A 3-D model of the Freeport LNG terminal shows liquefaction trains, storage tanks and a dock. (Source: Freeport LNG)
On April 19, Freeport LNG took some in the industry by surprise with the announcement that it would delay the projected start date for its $13 billion terminal by nine months, to September 2019 for the first train launch. The second two trains are projected to begin service in 2020.
According to Platt’s, the delay is due to “a combination of flooding following Hurricane Harvey of lay-yards where equipment, including steel pipeline, was stored, as well as contractor execution delays.”
In a report published on April 30, BTU Analytics took a look at the market’s reaction to the delay, noting that “it is a very fine line between LNG being important to the natural gas market, and the market becoming dependent on new LNG demand.”