Freeport LNG gets more time to build fourth train

US energy regulators granted Freeport LNG’s request for more time to build the fourth liquefaction train at its export plant in Texas.

Freeport LNG’s $13.5 billion, three-train facility currently has a capacity of more than 15 mtpa, or up to 2.14 Bcf per day of LNG.

The plant remains shut following an incident at the facility that took place on June 8. The LNG terminal operator delayed the restart of its LNG export plant to November.

Prior to the incident, the terminal owner led by billionaire Michael Smith asked US FERC in May for more time to build the fourth liquefaction train with a capacity of about five mtpa.

FERC said in a filling dated October 13 it had granted “Freeport LNG Development and FLNG Liquefaction 4 a 26-month extension of time, to August 1, 2028, to construct and make available for service the Train 4 Project facilities.”

FERC approved the fourth train in May 2019 and after that granted an extension to Freeport LNG in September 2020 to build and commission the project until May 17, 2026.

However, construction of the new train has not yet commenced, due in “large part to delays stemming from the Covid-19 pandemic,” Freeport LNG told FERC in the filing in May.

48-56 months

Like the first three trains, Train 4 will use electric motors with variable frequency drive for the cooling and liquefaction compression power.

The LNG terminal operator would construct the expansion approximate to the first three trains on Quintana Island and adjacent to the first three pretreatment units at the pretreatment facility near Oyster Creek.

Freeport LNG expects a minimum 48-56 month construction period for the new train.

It said that the “impact of the pandemic on the global community has now waned substantially, and global demand for US LNG has rebounded.”

The firm is actively marketing Train 4 project capacity to a “number of potential off-takers, particularly in European markets, and is in active negotiations with several potential customers,” it said in the filling in May.

New EPC contractor

The terminal operator had originally selected KBR as the preferred bidder for the engineering, procurement, and construction (EPC) contract for the development.

However, due to KBR’s decision to exit the LNG EPC business, Freeport LNG had to conduct another lengthy bidding process for the EPC contract prior to commencing construction of the new train.

Freeport LNG launched this competitive bidding process in early May 2022 with “several world-class engineering and construction companies” in order to receive firm price and schedule proposals for the Train 4 project in early fourth quarter.

Most Popular

Venture Global’s Plaquemines LNG terminal achieves first production

Venture Global announced on Friday it had reached first LNG production at the company’s second facility, Plaquemines LNG, in...

Swan Energy, Nebula’s AG&P LNG plan Indian JV

Swan Energy said on Friday it had signed a heads of agreement with AG&P Terminals &Logistics (Singapore). The two firms...

Spot LNG rates remain weak

“Spark30S rates rose for a fourth consecutive week, increasing marginally by $750 to $23,500 per day,” Qasim Afghan, Spark’s commercial...

More News Like This

US DOE releases LNG export study

The Biden administration said in January it will pause pending decisions on exports of LNG to non-FTA countries until DOE can...

Construction advances on Sempra’s Port Arthur LNG export terminal

In March last year, Sempra Infrastructure, a unit of Sempra, took a final investment decision for the first phase of its...

US FERC to prepare supplemental EIS for Venture Global’s CP2 LNG project

In July last year, the regulator issued a final environmental impact statement for the CP2 LNG project, Venture Global’s third LNG...

Cheniere’s Corpus Christi LNG expansion project to receive first gas

The US FERC said on Wednesday that it had granted Corpus Christi Liquefaction's request to introduce hydrocarbons to Train...