Sempra LNG Export Terminal Gets Green Light
San Diego, CA – The Federal Energy Regulatory Commission (FERC) has given Sempra Energy subsidiary, Cameron LNG, permission to site, construct and operate a natural gas liquefaction and export facility at the site of the company’s LNG (liquefied natural gas) receipt terminal in Hackberry, Louisiana.
The FERC permit is one of the last major regulatory approvals required to start construction on the $9 billion to $10 billion natural gas liquefaction facility.
The authorization approves the development of the three-train liquefaction facility that will provide an export capability of 12 million tons per year of LNG, or approximately 1.7 billion cubic feet per day (Bcfd).
The agency also authorized a subsidiary of California-based Sempra Energy to construct a 21-mile, 42-inch natural gas pipeline expansion of the Cameron Interstate Pipeline, new compressor station and ancillary equipment that will provide natural gas transportation for the liquefaction facilities.
Earlier this year, Cameron LNG was awarded conditional approval from the U.S. Department of Energy (DOE) to export LNG to countries that do not have free trade agreements with the US, including Japan and European nations.
Subject to a final investment decision to proceed by each party, the finalization of permits, project financing and other conditions, Sempra Energy will have an indirect 50.2-percent ownership interest in the Cameron LNG operation and the related liquefaction project.
The remaining portion will be owned by affiliates of GDF Suez S.A., Mitsui & Co Ltd., and a joint venture headed by the Mitsubishi Corporation.
“The liquefaction project is an international collaboration with our partners from Japan and France to create a world-class facility to deliver reliable LNG supplies for more than 20 years to some of the largest LNG buyers in the world,” said E. Scott Chrisman, vice-president of commercial development for Sempra LNG and project leader for the Cameron LNG liquefaction project.