Cheniere seeks more time for Corpus Christi LNG expansion

US LNG exporting giant Cheniere asked US energy regulators for an extension to construct the proposed Stage 3 expansion at its Corpus Christi export plant in Texas.

The Corpus Christi liquefaction plant now consists of three operational trains with each having a capacity of about 5 mtpa.

Under the expansion project, Cheniere plans to build up to seven mid-scale liquefaction trains with a total expected nominal production capacity of about 10 mtpa.

The US FERC approved this expansion project back in November 2019. Under this approval, Cheniere and its units have to complete the project in five years or until around November 2024.

Cheniere’s units asked FERC in a filing dated December 7 to extend this date until June 2027.

“The onset and duration of the Covid-19 pandemic resulted in adverse economic and logistical conditions that slowed commercial progress and precluded CCL Stage III from making a timely final investment decision (FID) on the Stage 3 project in order to meet the current permitted construction duration,” Cheniere said in the filing.

This delay in full commercialization has resulted in the need for additional time to construct and place the Stage 3 project in service, Cheniere said.

Close to FID

While the Covid-19 pandemic caused significant impact to global markets last year, global LNG demand and long-term contracting activity have experienced significant growth in 2021, according to Cheniere.

“During the last 12 months alone, Cheniere Energy and its affiliates have signed about 6 mtpa of long-term contracts, which, alongside long-term contracts previously signed, means that commercialization for the Stage 3 project is close to completion,” it said.

The strong global LNG market continues to drive commercial momentum, and CCL Stage III
anticipates “imminently restarting” early construction activities at the Stage 3 project site and making a positive FID during 2022, Cheniere said.

Full construction of the expansion facilities would commence upon making a positive FID.

Based on a June 2022 FID and a 60-month construction duration, the Stage 3 project would be made available for service by June 2027, Cheniere said.

- Advertisements -

Most Popular

Sempra, Bechtel ink EPC deal for Port Arthur LNG expansion project

US LNG exporter Sempra Infrastructure, a unit of Sempra, and compatriot engineering and construction firm Bechtel have finalized a...

Venture Global’s Plaquemines LNG inks gas supply deal

Venture Global LNG's Plaquemines LNG has signed a natural gas sale and purchase deal with Houston-based midstream gas marketer...

German LNG terminal operator gets no bids in latest capacity auctions

State-owned LNG terminal operator Deutsche Energy Terminal will launch new capacity auctions for its FSRU-based facilities in Brunsbüttel and...

More News Like This

ADCC pipeline starts delivering gas to Cheniere’s Corpus Christi LNG plant

The ADCC pipeline has started delivering natural gas to Cheniere's Corpus Christi LNG export terminal in Texas. According to a...

Dynagas LNG carrier rescues two people in Florida Straits

A newbuild LNG carrier, owned by Dynagas and chartered by Cheniere, recently rescued two persons in the Florida Straits. Greek...

Freeport LNG terminal in Texas shut down due to Hurricane Beryl

US LNG terminal operator Freeport LNG has shut down its three-train liquefaction and export plant in Texas due to...

Cheniere on track to decide on two more Corpus Christi LNG trains in 2025

US LNG exporting giant Cheniere is on track to take a final investment decision in 2025 to build two...