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Cheniere Energy Partners has taken a key step toward expanding its flagship Sabine Pass LNG export terminal in Louisiana, signing an engineering, procurement and construction contract with Bechtel for the first phase of the project.
The lump-sum, turnkey EPC contract covers Train 7, a boil-off gas re-liquefaction unit, supporting infrastructure and tie-ins to the existing Sabine Pass LNG terminal. Cheniere also issued Bechtel a limited notice to proceed, allowing early engineering and procurement work to begin.
The first phase is expected to add more than 6 million tonnes per annum of LNG production capacity, including estimated debottlenecking. The broader Sabine Pass Expansion Project is being developed for up to three large-scale liquefaction trains with total peak production capacity of up to roughly 20 mtpa.
Cheniere said Phase 1 is backed by long-term agreements with customers, though a final investment decision remains subject to regulatory approvals and financing. The company expects to reach FID by early 2027.
Applications remain pending before the Federal Energy Regulatory Commission to site, construct and operate the expansion, as well as before the Department of Energy for authorization to export LNG to non-free trade agreement countries.
"We are pleased to once again partner with Bechtel on the first phase of the SPL Expansion Project," said Jack Fusco, Cheniere's Chairman, President and CEO. He said the EPC contract and limited notice to proceed mark "important steps toward FID."
The project would build on Sabine Pass's role as one of the nation's most important LNG export hubs. The terminal, located in Cameron Parish, Louisiana, currently has more than 30 mtpa of LNG production capacity in operation, along with five LNG storage tanks, regasification facilities and three marine berths.
Cheniere framed the expansion against a global LNG market increasingly focused on secure and flexible supply, particularly as Europe and Asia continue to compete for long-term volumes.
"The SPL Expansion Project commences as LNG market dynamics highlight the criticality of secure supply in the global energy system," Fusco said.
Fuente: GCAPTAIN_NEWS
