LNG Export Terminal Buildout -- December 22, 2024

Locator: 44503LNG.

There is nothing new here as far as I can tell. Just a recap of the LNG export terminal buildout.

First the EIA, link here: North America's LNG export capacity is on track to more than double by 2028 -- that's only three years from now --

Of note:

• Energia Costa Azul, reported earlier this year, link here; update, production has started, June 6, 2026, links everywhere:

• Golden Pass, expansion at Sabine Pass; partnership: QatarEnergy and XOM;
• Rio Grande, NextDecade; Brownsville, TX, first of three liquefaction trains;
• Port Arthur: Jefferson County, TX; two liquefaction trains; joint venture, Sempra and COP, with long term commitments from COP, INEOS (British), PKN Orlen (Baltic Energy, Poland), and Engie, SA (French electric utility);
  
  

Greenpeace, June 23, 2023, link here -- a most interesting source, but very comprehensive. Archived here. Back in 2023, Greenpeace says there were seven active US LNG export terminals. That agrees with what was stated the other day, making Plaquemines, number eight.

Look at all the sites approved (yellow dots) but not yet under construction, as of June 23, 2023).

Of note, along with Cameron and Calcasieu Pass:

• Lake Charles LNG
• Driftwood
• Magnolia
• Commonwealth

This is wiki's list, as of December 22, 2024:

Two additional comments:

• best source for up-to-date information on this subject: RBN Energy
• these export terminals depend on adequate pipeline supply from the Permian

World's Fastest Growing Oil Company Enters LNG Partnership With Delfin Midstream -- September 6, 2022

Devon tracked here. 

Link here:

• U.S. oil and gas producer Devon Energy has entered into a liquefied natural gas export partnership with LNG export infrastructure development company, Delfin Midstream. 
• The partnership includes an agreement for long-term liquefaction capacity and a  strategic investment by Devon n Delfin. 
• The agreeemnet provides Devon up to 2.0 million tons per annum of total liquefaction capacity on a long-term basis. 
• Specifically, it lays down a framework for finalizing a definitive long-term tolling agreement representing 1 MTPA of liquefaction capacity in Delfin's first Floating LNG vessel, with the ability to add an additional 1 MTPA in Delfin's first or a future Floating LNG vessel. 
• The agreement also provides opportunity for additional future equity investments in Delfin by Devon..

Texas, NFE, Floating Natural Gas Liquefaction Solution -- Motley Fool And Reader Update -- March 16, 2021

From Motley Fool today:

Shares of New Fortress Energy rallied more than 27% by 3 p.m. EDT, today, Tuesday, March 16, 2021. 

Fueling the energy infrastructure stock was its fourth-quarter results and an analyst upgrade. So what New Fortress Energy reported slightly weaker-than-expected fourth-quarter results as the energy infrastructure company broke even, while analysts expected a $0.04 per share profit. 

However, the market overlooked that miss because of the company's optimistic outlook. 

New Fortress Energy noted that it has now announced three separate growth transactions valued at $5.1 billion. These include the previously announced Hygo Energy Transition and Golar Energy Partners  acquisitions from Golar LNG. 

It's also developing the Suape Terminal and announced a final investment decision on a floating natural gas liquefaction solution, Fast LNG. It expects that project to be operational by the end of next year. 

Those moves led Stifel to upgrade the stock from hold to buy, setting a $50 price target (though that's now $4 below the current stock price). While Stifel warns that "execution risk is still a challenge," the company has several catalysts on the horizon, making its value proposition "compelling." 

For the story on NFE and the Suape Terminal, see this press release. Wiki entry for Suape Port, Brazil, is here. FAST LNG press release here.

A reader has been following this story for quite some time, and sent me the following today:

Long story short, NFE has purchased two jack up drill rigs - originally costing $500 million  each -  for $30 million per. 

They are heading to a Texas shipyard where a  1.4 million tonne per year (mtpa) modular LNG train will be placed onboard each. See story here.

Rigs will then be towed to a shallow water gas field (not yet picked, but likely shallow water GOM), and rig will drill new gas wells, liquefy natgas  onboard, send it to adjacent LNG ship used as storage, and product will be offloaded and delivered via standard LNG ship.

Brilliantly simplistic.

Using the Australian Prelude for comparison (not a complete apples-to-apples comp, but close), Prelude cost ~$15 billion, produces 3.6 mtpa, and took over a decade to get online. 

On the other hand, NFE's units will cost $500 million each, produce 1.4 mtpa, and be ready by next year (2022). 

They figure the overall cost to them for the LNG will be about $3.50/mmbtu, which is about half price of LNG selling point right now.

Much more could be said, not least being the potential for  setting these floating plants offshore smaller, out of the way gas fields worldwide and producing cheap LNG for growing, local markets. 

Vietnam, Indonesia and the Philippines are especially promising markets.

Disclaimer: this is not an investment site.  Do not make any investment, financial, job, career, travel, or relationship decisions based on what you read here or think you may have read here.  

Back in 2016, liquefaction LNG export terminals were a big deal. A list of proposed terminals was posted here. 

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Meanwhile, Delaware River Basin Commission -- The Gibbstown Dock
From: Wyalusing, Bradford County, Pennsylvania
To: Gibbstown, New Jersey

Link here. 

The Delaware River Basin Commission (DRBC) voted on Wednesday to approve a permit for construction of Delaware River Partners LLC's controversial marine terminal in Gibbstown, New Jersey, that will be capable of exporting liquefied natural gas (LNG).

The proposal is to transport LNG via truck or train to the Gibbstown dock from a plant that New Fortress Energy Inc is developing in Wyalusing in Bradford County, Pennsylvania, that would liquefy natural gas from the Marcellus Shale.

The LNG would then be exported by ship from the Gibbstown terminal to customers in the Caribbean and elsewhere.