Cheniere acquires option for LNG terminal site at Sabine Pass, Tex.

Cheniere Energy Inc. has acquired an option to buy a site near Sabine Pass, Tex., to build a liquefied natural gas receiving terminal.

Dec 6th, 2001

By the OGJ Online Staff

HOUSTON, Dec. 6 -- Cheniere Energy Inc., Houston, has acquired an option to buy a site near Sabine Pass, Tex., to build a liquefied natural gas receiving terminal.

Cheniere previously acquired options for sites at Freeport and Brownsville, Tex. It announced the intent to acquire three such options earlier this year (OGJ Online, June 12, 2001).

Charles Reimer, Cheniere president and CEO, said, "All the work we have done continues to support our conclusion that Texas is well situated to develop LNG receiving terminals because of its extensive infrastructure for transportation and the large industrial demand in the state. We have been in contact with several users of gas and potential LNG suppliers and have signed memoranda of understanding for the offtake of 350 MMcfd from our Freeport location. We believe that LNG will become a critical component of supply of gas within the current decade."

Cheniere has begun permitting and engineering work at its Freeport, Tex., site, and added 100 MMcfd of capacity to that location.

Cheniere explores for oil and gas in the Gulf of Mexico.

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