Cameron LNG liquefaction project makes FID, will proceed

Sponsors of the 12-million tonne/year Cameron Liquefaction Project, planned at the site of Sempra Energy’s Cameron LNG receipt terminal in Hackberry, La., made their final investment decision (FID) and will proceed with the plant. Sempra LNG, GDF Suez SA, Mitsui & Co. Ltd., and Mitsubishi Corp., through a related company jointly established with Nippon Yusen Kabushiki Kaisha (NYK), each approved development, construction, and operation of the natural gas liquefaction and export project.

The three-train liquefaction plant will export the gas equivalent of about 1.7 bcfd. Subject to final approvals, conditions, and financing, Sempra expect to begin construction on the project later this year, with all three trains beginning operations during 2018, and full capacity reached in 2019.

Cameron LNG earlier this year received authorization from the US Federal Energy Regulatory Commission to site, construct, and operate the liquefaction plant (OGJ Online, June 19, 2014) and was awarded conditional authorization from the US Department of Energy to export LNG to non-free-trade-agreement (non-FTA) countries, including Japan and European nations (OGJ Online, Feb. 11, 2014). Sempra expects final authorization from DOE later this year.

Sempra Energy will have an indirect 50.2% ownership interest in Cameron LNG and the related liquefaction project, and the remaining portion will be owned by affiliates of GDF Suez, Mitsubishi (through a related company jointly established with NYK) and Mitsui, each with 16.6% stakes.

Sempra estimates the total project cost at about $10 billion, including contribution of the existing Cameron LNG terminal, construction of the new plant, and financing. The Japan Bank for International Cooperation, Nippon Export and Investment Insurance, and a group of 29 commercial banks will provide the $7.4 billion in project financing.

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

Related Articles

China’s demand growth may make it globally dominant, speakers suggest

09/18/2014 China potentially could dictate terms as the fastest growing market in a world suddenly awash in potential oil and gas resources, speakers suggeste...

Spectra, NU announce New England gas pipeline expansion

09/17/2014 Spectra Energy Corp., Spectra Energy Partners, and Northeast Utilities (NU) plan to build the 1-bcfd Access Northeast natural gas pipeline expansio...

Senators offer bill to reform energy project cross-border permitting

09/16/2014 Four US senators—2 Democrats and 2 Republicans—introduced legislation to prevent extended delays of energy projects requiring a cross-border permit...

API official calls for end to nearly 6-year Keystone XL permit delay

09/16/2014 Three days before the sixth anniversary of TransCanada Corp.’s original filing for presidential approval of the proposed Keystone XL crude oil pipe...

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