Cheniere taps Bechtel for liquefaction at Sabine Pass LNG

Christopher E. Smith
OGJ Pipeline Editor

HOUSTON, June 10 -- Cheniere Energy Inc. unit Cheniere Partners LP let a contract to Bechtel Oil, Gas & Chemicals for the design and construction of liquefaction facilities at Cheniere’s 4 bcfd Sabine Pass LNG receiving terminal in Cameron Parish, La. The facilities will use ConocoPhillips’s optimized cascade liquefaction technology.

Bechtel designed and built the Sabine Pass LNG receiving terminal.

The Sabine Pass site can accommodate up to four LNG trains capable of processing about 2 bcfd of natural gas, according to Cheniere. The capacity of each liquefaction train would be about 3.5 million tonnes/year. The initial project would include two trains each processing about 1 bcfd of gas. The company said customer interest would determine future expansion.

Cheniere is in the process of pursuing contractual arrangements with natural gas buyers overseas and US producers interested in supplying the project.

Cheniere expects LNG exports could commence as early as 2015 and plans to make a request to the US Federal Energy Regulatory Commission to begin National Environmental Protection Act prefiling by the end of June. The company says the timing of actual construction will depend on regulatory approvals and a final investment decision contingent upon satisfactory construction contracts and securing sufficient long-term customer contracts. Cheniere expects to be able to offer bidirectional services at Sabine Pass at $1.40-1.75/MMbtu.

Cheniere says it can build liquefaction capacity at economics typically associated with expansion given that many of the needed components are already part of the receiving terminal, including five storage tanks with a total capacity of 16.6 bcf, two berths, and the 94-mile Creole Trail pipeline. Cheniere would reconfigure Creole Trail to be a bidirectional system.

Contact Christopher E. Smith at chriss@ogjonline.com.

Related Articles

Increased gas production from shale rewires global supply grid

10/01/2013 DENVER, Colo.—"Unconventional gas is changing the dynamic within the global gas trade network," Elizabeth Spomer, senior vice-president, ...

DOE approves Dominion Cove Point LNG exports to non-FTA countries

09/23/2013 The US Department of Energy approved Dominion Cove Point LP's application to export LNG from its terminal in Calvert County, Md., to countries that...

Demand and prices fall

12/29/2008 Even as a winter storm dumped snow and ice on the US Midwest and East Coast during Christmas week, markets remained unconvinced OPEC can cut produc...

MARKET WATCH: Energy demand, prices both plummet

12/23/2008 The front-month February contract for benchmark US crudes fell 6% to less than $40/bbl Dec. 22 amid market fears OPEC cannot cut production fast en...

Marathon to develop Droshky, Ozona deepwater finds

11/03/2008 Marathon Oil Corp. has approved $1.3 billion to develop its Droshky discovery and $300 million for Ozona, both in the deepwater Gulf of Mexico.

MARKET WATCH: Expiring crude contract shoots up $16/bbl

09/23/2008 The expiring October contract for benchmark US oil shot up more than $16 Sept. 22 in the largest 1-day price jump ever seen on NYMEX, hitting a 2-m...

MARKET WATCH: Energy prices fall as fear of Ike ends

09/16/2008 Energy prices fell Sept. 15 on preliminary evidence that Hurricane Ike inflicted less damage than some expected on oil and gas operations in the gu...

MARKET WATCH: Crude up slightly before Ike hit

09/15/2008 The average price of the Organization of Petroleum Exporting Countries' basket of 13 benchmark crudes was up 4¢ to $95.33/bbl the day before H...

MARKET WATCH: Crude prices decline as workers return to gulf

09/04/2008 Crude prices closed at a new 5-month low Sept. 3 in the New York market as oil and gas production and processing began coming back on stream after ...

White Papers

AVEVA NET Accesses and Manages the Digital Asset

Global demand for new process plants, power plants and infrastructure is increasing steadily with the ...
Sponsored by

AVEVA’s Approach for the Digital Asset

To meet the requirements for leaner project execution and more efficient operations while transferring...
Sponsored by

Diversification - the technology aspects

In tough times, businesses seek to diversify into adjacent markets or to apply their skills and resour...
Sponsored by

Engineering & Design for Lean Construction

Modern marketing rhetoric claims that, in order to cut out expensive costs and reduce risks during the...
Sponsored by

Object Lessons - Why control of engineering design at the object level is essential for efficient project execution

Whatever the task, there is usually only one way to do it right and many more to do it wrong. In the c...
Sponsored by

Plant Design for Lean Construction - at your fingertips

One area which can provide improvements to the adoption of Lean principles is the application of mobil...
Sponsored by

How to Keep Your Mud System Vibrator Hose from Getting Hammered to Death

To prevent the vibrating hoses on your oilfield mud circulation systems from failing, you must examine...
Sponsored by

Duty of Care

Good corporate social responsibility means implementing effective workplace health and safety measures...
Sponsored by

Available Webcasts


On Demand

Optimizing your asset management practices to mitigate the effects of a down market

Thu, Dec 11, 2014

The oil and gas market is in constant flux, and as the price of BOE (Barrel of Oil Equivalent) goes down it is increasingly important to optimize your asset management strategy to stay afloat.  Attend this webinar to learn how developing a solid asset management plan can help your company mitigate costs in any market.

register:WEBCAST


Parylene Conformal Coatings for the Oil & Gas Industry

Thu, Nov 20, 2014

In this concise 30-minute webinar, participants have an opportunity to learn more about how Parylene coatings are applied, their features, and the value they add to devices and components.

register:WEBCAST


Utilizing Predictive Analytics to Optimize Productivity in Oil & Gas Operations

Tue, Nov 18, 2014

Join IBM on Tuesday, November 18 @ 1pm CST to explore how Predictive Analytics can help your organization maximize productivity, operational performance & associated processes to drive enterprise wide productivity and profitability.

register:WEBCAST


US HYDROCARBON EXPORTS Part 3 — LNG

Fri, Nov 14, 2014

US LNG Exports, the third in a trilogy of webcasts focusing on the broad topic of US Hydrocarbon Exports.

A discussion of the problems and potential for the export of US-produced liquefied natural gas.

These and other topics will be discussed, with the latest thoughts on U.S. LNG export policy.

register:WEBCAST


Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected