Louisiana LNG Plant May include Bunkering

by Ship & Bunker News Team
Wednesday May 14, 2014

A planned liquefied natural gas (LNG) export plant in the U.S. state of Louisiana may include bunkering facilities, according to the developer, SCT&E LNG.

SCT&E LNG's parent company, Southern California Telephone & Energy, has acquired land on the Calcasieu Ship Channel for the $2.4 billion facility, which would liquefy natural gas, store the fuel, and load it onto carriers for export.

"The site will house multiple LNG storage tanks which may be used for LNG bunkering and fueling of transportation ships for distribution of LNG," the company said.

The company said it will now apply to the U.S. Department of Energy (DOE) for permission to export the fuel to both free-trade-agreement (FTA) and non-FTA nations.

As part of the project, SCT&E LNG plans to build, own, and operate four LNG trains, each capable of producing nearly 1 million tonnes per annum (mtpa).

The site, on Monkey Island, offers deep water access to accommodate large LNG vessels and could be used as a refuelling station for newly converted or newbuild LNG-powered vessels.

"With the shutdown of the Fukushima nuclear power plant and other nuclear phase-outs throughout Europe, China's recent announcement for targeted air pollution reductions requiring the use of LNG, and the increasing international demand for clean burning natural gas, the United States is in a position to become the powerhouse to LNG markets worldwide," said Greg Michaels, Chairman and CEO of Southern California Telephone & Energy.

"Owning an LNG facility allows SCT&E to manage the availability of LNG for their own projects, allowing the company to win contracts for the development and ownership of gas-fired power plants world-wide."

Harvey Gulf International Marine (Harvey Gulf) is building the first U.S. LNG bunkering facility in Port Fourchon, Louisiana.