Venture Global to spend over $10 bln on fourth Louisiana LNG plant

CKX Lands

02/12/2021 21:52

Dec 2 (Reuters) - U.S. liquefied natural gas (LNG) company
Venture Global LNG said on Thursday that it will invest more
than $10 billion to develop a fourth LNG export facility in
Louisiana.
    The proposed CP2 facility will be located adjacent to its
Calcasieu Pass LNG export plant, which is under construction and
could produce first LNG in test mode later this year. Analysts
have estimated Calcasieu Pass cost about $4.5 billion.
    “These two projects (Calcasieu and CP2), combined with our
Plaquemines LNG facility now under construction, represent more
than $20 billion of investment in the State of Louisiana,"
Venture Global Chief Executive Mike Sabel said in a statement.
    Louisiana Governor John Bel Edwards said in the release that
"The CP2 facility in Cameron (Parish) will create more than
1,000 new permanent jobs and thousands of construction jobs in
the area, which will have a significant impact on our economy." 
    The CP2 project is designed to produce about 20 million
tonnes per annum (MTPA) of LNG and will incorporate technology
to reduce the amount of carbon dioxide released into the
atmosphere.
    "As Louisiana pursues a goal of net-zero emissions by 2050,
projects that feature carbon capture and sequestration allow our
state to sustain industry without sacrificing our long-term
carbon-reduction goals," Edwards said.
    In total, Venture Global has about 70 MTPA of LNG export
capacity under construction or development in Louisiana,
including the 10-MTPA Calcasieu Pass, 20-MTPA Plaquemines,
20-MTPA Delta and the 20-MTPA CP2.
    Venture Global has entered long-term agreements to sell LNG
to units of several companies around the world, including China
Petroleum and Chemical Corp (Sinopec)  600028.SS , Royal Dutch
Shell PLC  RDSa.L , BP PLC  BP.L , Edison SpA  EDNn.MI , Galp
Energia SGPS SA  GALP.LS , Repsol SA  REP.MC  and Polish Oil and
Gas Co (PGNiG).  urn:newsml:reuters.com:*:nL1N2RG083  urn:newsml:reuters.com:*:nL1N2RV052

    <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Venture Global gets loan for Louisiana Plaquemines LNG
construction      urn:newsml:reuters.com:*:nFWN2KH180
FACTBOX-U.S. new natural gas pipeline projects     urn:newsml:reuters.com:*:nL1N2K71HB
Venture Global delays Louisiana Plaquemines LNG export FID to
2021     urn:newsml:reuters.com:*:nL1N2I42CQ
UPDATE 2-China signs huge LNG deals with U.S. supplier Venture
Global      urn:newsml:reuters.com:*:nL1N2RG083
UPDATE 2-Sinopec signs China's largest long-term LNG contract
with U.S. firm     urn:newsml:reuters.com:*:nL1N2RV052
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 (Reporting by Scott DiSavino
Editing by Marguerita Choy)
 ((scott.disavino@thomsonreuters.com; +1 332 219 1922; Reuters
Messaging: scott.disavino.thomsonreuters.com@reuters.net))