Americas News
Port of Tacoma Extends Withdrawal Date for Proposed LNG Bunkering Facility
The Port of Tacoma has granted Puget Sound Energy (PSE) an extension on the period in which the company can withdraw from its lease for a proposed 30 acre liquefied natural gas (LNG) plant, local media reports.
As Ship & Bunker has previously reported, the proposed plant is set to support LNG bunkering at the port.
The port's CEO, John Wolfe, is said to have authorised the extension of the lease's feasibility period from August 31 to October 31 in order to "provide additional time for Puget Sound Energy to secure permits before construction begins."
Under the terms of the lease, which was signed in September 2014, PSE is to pay almost $50,000 per month for the 30 acre site during the feasibility period for the first 12 months of the lease, with the cost going up by $7,000 per month with the extension of the period.
After the plant has moved into the construction period, PSE is said to be set to pay the port $146,000 per month, and $212,445 per month once the plant goes into full operation.
Within the feasibility period, PSE would have to pay $50,000 to pull out of the lease, although no cost would be owed if the cancellation was attributed to environmental reasons the utility did not cause.
Once the lease moves past the feasibility period, if it decides to pull out, PSE will owe the full amount of rent set for the full 25 year lease.
The $250 million plant project, which is slated for operation in 2019, is planned to produce 250,000 gallons of LNG per day, storing the product onsite in an 8 million gallon tank.
In August, Commissioners of the U.S. ports of Tacoma and Seattle, through the Northwest Seaport Alliance, approved two easements for PSE's proposed LNG bunkering station.
