Louisiana Sabine Pass 6 LNG Export Train to Be Built by Cheniere

The biggest supplier of U.S. LNG is planning to build a sixth liquefaction train at its Sabine Pass LNG export terminal in Louisiana, Cheniere Energy said on Monday.

The company has a $2.5 billion contract with Bechtel, the lead contractor building its LNG terminals. It gave Bechtel the notice to proceed with the construction of Sabine 6 and expects the unit to enter service in 2023.

Cheniere’s subsidiary, Cheniere Energy Partners LP has entered into five-year, $1.5 billion senior secured credit facilities with 29 banks and financial institutions to fund a portion of Sabine 6 and a third LNG berth at the plant.

Also all remaining necessary regulatory approvals for the project is expected to receive by the end of 2019, the company said.


PHMSA and FERC Sign Memorandum of Understanding To Expedite LNG Permit Reviews

A memorandum of understanding to expedite coordination between the U.S. Pipeline & Hazardous Materials Safety Administration and the Federal Regulatory Commission during permit application reviews for proposed LNG export facilities has been signed by both parties on August 31.

PHMSA is responsible for standards governing the location and design of LNG facilities while FERC is responsible for determining if the proposed LNG facilities are in the public interest.

The MOU clarifies each agency’s responsibilities related to the application review process for potential LNG projects. PHMSA will encapsulate its findings in a letter of determination, which FERC will accept as the authoritative determination of proposed facility’s ability to comply with safety regulations.

“PHMSA’s LNG safety experts are fully prepared to analyze current and future project proposals, evaluate their potential impact on public safety, and reduce barriers to moving these projects forward,” PHMSA Administrator Skip Elliott said.

The agreement also refines information-sharing practices between the agencies. This includes documents, information, and data submitted by facility applicants, Elliot said.

Once FERC receives a determination letter, it will consider PHMSA’s findings in deciding whether an LNG export project is in the public interest. “FERC is pleased to collaborate with PHMSA to better leverage each agency’s expertise and to process LNG applications in the safest and most efficient way possible,” said FERC Chairman Kevin J. McIntyre.

Oil & Gas Journal