SCT&E LNG signs fourth MoU

SCT&E LNG Inc. has announced that it has signed a fourth non-binding Memorandum of Understanding (MoU) for the sale of LNG from its future facility to be constructed on Monkey Island in Cameron Parish, Louisiana, US.

SCT&E LNG confirmed that the agreement was signed with a reputable Asian energy company that owns and operates an LNG import terminal and has plans to construct additional terminals. The agreement also has an option for a future equity investment into the SCT&E LNG liquefaction terminal.

Chairman and CEO of SCT&E LNG, Greg Michaels, said: “SCT&E LNG now has over one-third of the facility’s overall capacity reserved via MoU’s. We have seen an increase in commercial activities from clients looking to secure LNG supply beginning in 2022, and it is great to see LNG buyers confirm our business decisions and market timing.”

Scott Ray, Vice President of Engineering and Technology, added: “Signing this MoU provides the capacity commitment required to further advance the engineering and overall project development activities. We are currently finishing up a several month engineering study and have phased our execution plan to match capacity commitments. Currently, we are finalising negotiations with our Owner’s Engineer and specialty contractors required to support the FERC process, and we anticipate announcing these decisions soon.”

SCT&E LNG signed two offtake MoUs in 2015, for a total of 1.7 million tpy of LNG, as well as a third MoU earlier this year. This new agreement, combined with the previously signed MoUs, brings the company’s total offtake agreements up to 4.7 million tpy.

Edited from press release by Callum O'Reilly

Read the article online at: https://www.lngindustry.com/liquefaction/05042016/sct-e-lng-signs-fourth-mou-2224/