Energy Transfer LP and Shell US LNG have issued a comprehensive commercial tender package to engineering, procurement, and construction (EPC) contractors to submit final commercial bids for the Lake Charles LNG liquefaction project in Lake Charles, La. (OGJ Online, June 30, 2017).
If sanctioned by Energy Transfer and Shell, the project would modify Energy Transfer’s existing LNG import facility to add LNG liquefaction capacity of 16.45 million tonnes/year for export. Commercial bids are expected to be received in the second quarter of 2020.
The commercial tender expands on the invitation to tender (ITT) announced in May 2019 that focused on the technical scope of project, specifically the contractors’ verification of the engineering and design of the proposed liquefaction facility. The commercial tender invites the EPC contractors to develop a comprehensive commercial bid for the lump sum turnkey contract based on a fully developed scope related to design, engineering, technical, and safety specifications for the construction, commissioning, and start-up of the proposed project. The commercial tender also requires submission of a fully developed execution plan and completion schedule.
The companies signed a framework agreement designating Shell project lead before the companies reach FID and as construction manager and operator of Lake Charles LNG if the project is sanctioned. Energy Transfer will be site manager and project coordinator prior to FID (OGJ Online, Mar. 26, 2019).