Freeport LNG is now expecting to resume partial liquefaction operations at its export plant in Texas in early October after an incident took place at the facility on June 8.
“Currently, it is estimated that the resumption of partial liquefaction operations will be early October 2022,” a spokeswoman for Freeport LNG told LNG Prime in an emailed statement late on Thursday.
“With commencement of such operations, we expect to be able to deliver substantially all baseload production volumes,” the spokeswoman said.
Earlier this month, Freeport LNG said it had expected to resume partial operations at its LNG export plant in about 90 days.
This new estimate comes after the US Pipeline and Hazardous Materials Safety Administration (PHMSA) said on Thursday that Freeport LNG must complete several corrective actions prior to restarting the plant.
The spokeswoman said that Freeport LNG continues to target year-end for a return to full production.
“Comprehensive review” underway
Freeport LNG acknowledges the safety order issued today by the PHMSA, the spokeswoman said.
“Since the incident on June 8th, the company has worked collaboratively with all local, state and federal officials regarding the incident response, investigation, and safe resumption of liquefaction operations,” she said.
Freeport LNG would continue to do so, particularly with PHMSA, the Federal Energy Regulatory Commission (FERC) and the United States Coast Guard (USCG), to obtain the necessary approvals to safely restart operations.
The LNG terminal operator is already conducting a “comprehensive review” to ensure that it identifies and fully implements all necessary corrective actions prior to resuming operations, according to the spokeswoman.
Freeport LNG, led by billionaire Michael Smith, launched commercial operations in May 2020 for the third train at its Quintana Island facility.
This event also marked the full commercial operation of Freeport LNG’s $13.5 billion, three-train facility. It has a capacity of more than 15 mtpa or some 2 billion cubic feet per day (Bcf/d)
BP, Jera, Osaka Gas, SK E&S, and TotalEnergies have long-term contracts with Freeport LNG.
Freeport LNG is also planning to add another production unit with a capacity of 5 mtpa but it has not yet taken a final investment decision.