Cameron LNG Seeks More Time For Phase 2 Construction

Source Reuters
Company Sempra EnergyMitsubishi CorporationMitsui & Co., Ltd.Nippon Yusen Kabushiki KaishaTotal 
Tags Capital Spending, Issues & Setbacks, LNG & Gas Storage/Processing
Date January 27, 2020

(Reuters) Cameron LNG asked U.S. energy regulators for a 72-month extension until May 2026 to build the second phase of the joint venture’s Cameron liquefied natural gas (LNG) export plant in Louisiana.

The company said in a filing with the U.S. Federal Energy Regulatory Commission on Friday that it anticipates making a final investment decision (FID) by mid 2021 to add two additional liquefaction trains.

Cameron LNG said construction of the new trains would likely take up to 58 months.

One train is already operating at the plant and the company has said it expects trains 2 and 3 to enter commercial service in the first and third quarters of 2020, respectively. The company has said the first phase of the project cost about $10 billion.

All of the trains at Cameron are designed to export about 5.0 million tonnes per annum (MTPA), or 0.66 billion cubic feet per day (bcf/d), according to the FERC filing. One billion cubic feet is enough gas for about five million U.S. homes.

FERC approved construction of Cameron 4 and 5 in May 2016 in an order that required Cameron LNG to put the units in service within four years by May 2020. Cameron said it has already spent about $50 million related to the Cameron expansion project, including development costs. The company said it was not able to start work on Cameron 4 and 5 in part due to a change circumstances of one of its joint venture partners.

Source: EvaluateEnergy® ©2020 EvaluateEnergy Ltd