Cameron LNG seeks more time to build 2nd phase at Louisiana export plant

Chiyoda

27/01/2020 18:15

Jan 27 (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.  urn:newsml:reuters.com:*:nL1N29W0W4
    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 (bcfd), according to the FERC filing. One billion cubic
feet is enough gas for about five million U.S. homes.
    Just looking at terminals under construction, U.S. LNG
export capacity is expected to jump to 10.0 bcfd by the end of
2020 and 10.7 bcfd in 2021 from 7.8 bcfd now.
    That keeps the United States on track to become the biggest
LNG exporter in the world by 2024, up from number three in 2019
behind Australia and Qatar.
    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.
    In 2016, one of the former partners said it did not wish to
invest additional capital into the expansion project. Cameron
LNG did not name the partner but said in the filing that Total
SA  TOTF.PA  acquired Engie SA's  ENGIE.PA  interest in the
venture in July 2018.
    Cameron is owned by affiliates of Sempra Energy  SRE.N ,
Total, Mitsui & Co Ltd  8031.T  and Japan LNG Investment LLC, a
company jointly owned by Mitsubishi Corp  8058.T  and Nippon
Yusen Kabushiki Kaisha (NYK)  9101.T . Sempra indirectly owns
50.2% of Cameron.
    McDermott International Inc  MDRIQ.PK  and Chiyoda Corp
 6366.T  are the lead contractors at Cameron.

    <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
GRAPHIC-Expansion of global LNG gasification and regasification
capacity    http://tmsnrt.rs/2mtY5CY
GRAPHIC-Growing global natural gas demand    http://tmsnrt.rs/2mtP90z
UPDATE 2-Saudi Aramco inks 20-year deal with Sempra for LNG
supply     urn:newsml:reuters.com:*:nL5N22Y172
UPDATE 1-Sempra Louisiana Cameron 1 export plant produces first
LNG     urn:newsml:reuters.com:*:nL2N22Q0N4
CORRECTED-U.S., China will be world's biggest LNG exporter and
importer in 2024 -IEA     urn:newsml:reuters.com:*:nL2N24H0T0
FACTBOX-North American liquefied natural gas export projects   
 urn:newsml:reuters.com:*:nL1N29W0W4
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 (Reporting by Scott DiSavino
Editing by Marguerita Choy)
 ((scott.disavino@thomsonreuters.com; +1 646 223-6072; Reuters
Messaging: scott.disavino.thomsonreuters.com@reuters.net))