The Federal Energy Regulatory Commission granted Venture Global permission to start accepting and processing gas into liquefied form for export at its massive Plaquemines LNG export terminal, according to an April 23 filing.
However, the delivery date for LNG to long-term customers may still be several years away, according to comments made by Venture Global CEO Mike Sabel in December.
Superficially, FERC granted approval to “introduce hazardous fluids [natural gas] to the gas gate,” according to an April 23 letter sent to Venture Global.
The Plaquemines plant is about 20 miles down the Mississippi River from New Orleans.
According to a report from Reuters, Sabel said that the start up process at the Plaquemines plant will follow a similar process as at the company’s Calcasieu Pass LNG facility.
Venture Global has been in a battle with several long-term customers over the final commissioning of its Calcasieu Pass 1 plant. The facility has been producing LNG for more than 22 months. However, Venture Global has told its foundational customers, such as BP and Shell, that it cannot provide them with term-contract (price-guaranteed) cargoes until the FERC rules that the project is complete.
Once up and running, the Plaquemines plant will be one of the largest in the U.S., consuming more than 2.6 Bcf/d of natural gas and producing up to 20 MMmt of LNG a year.
Jen Snyder, an analyst for RBN Energy, wrote in a February examination of the Gulf gas flows that the project would have a major regional impact.
"For Southeast Louisiana, home to a massive industrial corridor along the Mississippi River as well as the U.S. natural gas benchmark Henry Hub, the introduction of such a huge source of demand will change how gas flows into and out of the region — with knock-on effects across the Gulf Coast," Snyder wrote.
Recommended Reading
Chevron, Brightmark JV Opens RNG Facility in Arizona
2024-04-10 - Eloy RNG produces RNG using anaerobic digesters at the Caballero Dairy in Arizona, Brightmark said April 10.
Collaboration, not ‘Mythical’ Renewables will Solve Climate Crisis
2024-03-25 - Tinker Energy Associates CEO Scott Tinker is optimistic that a combination of passion, expertise and funding can solve the world’s existential crisis—if the right questions are asked.
Energy Transition in Motion (Week of April 12, 2024)
2024-04-12 - Here is a look at some of this week’s renewable energy news, including a renewable energy milestone for the U.S.
Enough! Consumers Say They’re Overserved on Energy Transition, EY Finds
2024-02-11 - Two thirds of energy consumers are unwilling to spend more time and money to be sustainable, Ernst & Young reported.
Energy Transition in Motion (Week of Feb. 9, 2024)
2024-02-09 - Here is a look at some of this week’s renewable energy news, including the latest on a direct lithium extraction technology test involving one of the world’s biggest lithium producers and the company behind the technology.