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FACTBOX-North America natural gas export plans

Fri, 17th May 2013 19:58

(Updates factbox with news of Freeport LNG getting DOE approval for export to non-FTA nations) May 17 (Reuters) - Freeport LNG became the second project on Friday to receive approval from the U.S. Department of Energy(DOE) to export domestic natural gas to non-free trade agreement (FTA) nations. Freeport can export 1.4 billion cubic feet of gas per day for 20 years from its liquefied natural gas (LNG) terminal inQuintana Island, just south of Houston, Texas. Operations are planned from 2017. The project still requires U.S. Federal Energy Regulatory Commission (FERC) approval to begin construction, which thecompany expects this year. Freeport LNG Development, L.P., has four limited partners: Freeport LNG Investments, LLLP, an entity owned by Michael S.Smith; ZHA FLNG Purchaser, LLC, a wholly owned subsidiary of Zachry American Infrastructure, LLC; Texas LNG Holdings, LLC, awholly owned subsidiary of The Dow Chemical Company ; and Turbo LNG, LLC, a wholly owned subsidiary of Osaka Gas Co.,Ltd.. In 2012, Osaka Gas Co, Ltd., and Chubu Electric Power Co. agreed with Freeport to a Liquefaction Tolling Agreement (LTA) for4.4 million tons per annum (mtpa). This year, BP signed a 20-year LTA for an additional 4.4 mtpa. ConocoPhillips has a 50 percent interest in Freeport LNG-GP, Inc., which manages the Freeport project. Cheniere Energy is the first company to have received DOE and FERC approval to export gas to non-FTA countries andconstruct an LNG export terminal. Domestic shale gas supplies have flattened U.S. gas prices. Producers and terminal owners have lined up to build gas exportfacilities or repurpose domestic import terminals to serve as export facilities to serve higher-priced European and Asianmarkets. The DOE received 26 applications from projects seeking non-FTA gas export approval. Southern Union Company, which wasacquired by Energy Transfer Partners, LP, and BG Group plc's Lake Charles Exports, LLC project, is third on the DOE'slist. There are 12 U.S. export projects proposed to FERC for construction approval and two Canadian projects. Others await DOEnon-FTA export approval before they file with FERC to construct terminals. Below is a table showing the proposed and potential LNG export plants according to FERC as of April 17. Capacity is inbillion cubic feet per day. Approved by FERC Project State Company Start Up Capacity Sabine Pass Louisiana Cheniere Energy 2015 2.6 Proposed to FERC Project State Company Capacity Elba Island Georgia Royal Dutch Shell/Kinder Morgan 0.35 Lake Charles Louisiana Southern Union-Trunkline LNG 2.4 Magnolia LNG Louisiana LNG Limited 1.07 Freeport LNG Texas Freeport LNG/FLNG Liquefaction 1.8 Cove Point Maryland Dominion 0.82 Jordan Cove Oregon Veresen Inc 0.9 Corpus Christi Texas Cheniere Energy 2.1 Cameron LNG Louisiana Sempra 1.7 Lavaca LNG Texas Excelerate Liquefaction 1.38 CE FLNG Louisiana CE FLNG 1.07 Sabine Pass Louisiana Sabine Pass Liquefaction 1.3 Astoria Oregon Oregon LNG 1.3 Potential U.S. Project Sites Gulf LNG Mississippi Gulf LNG Liquefaction 1.5 Cameron Parish Louisiana Gasfin Development 0.2 Gulf Coast LNG Export Texas Gulf Coast LNG 2.8 Sabine Pass Texas ExxonMobil 2.6 Cameron Parish Louisiana Waller LNG Services 0.16 Ingleside Texas Pangea LNG 1.09 Proposed Canadian Sites Kitimat British Columbia Apache Canada Ltd 0.7 Douglas Island British Columbia BC LNG Export Cooperative 0.25 Potential Canadian Project Sites Kitimat LNG British Columbia LNG Canada 2 Prince Rupert Island British Columbia Shell Canada 1 Goldboro LNG Nova Scotia Pieridae Energy Canada 0.67 (Reporting by Jeanine Prezioso; Editing by Diane Craft and Sofina Mirza-Reid)

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