BG Group has announced that the Lake Charles LNG export project has received approval from the US Federal Energy Regulatory Commission (FERC) to construct and operate a natural gas liquefaction and export facility in Lake Charles, Louisiana, US.
BG Group is developing the Lake Charles LNG project with Energy Transfer Equity LP and Energy Transfer Partners L.P. Energy Transfer owns an existing LNG regasification facility in Lake Charles, which will be converted to a liquefaction facility.
The LNG project has conditional authorisation from the US Department of Energy (DOE) for the export of up to 2 billion ft3/d of natural gas or approximately 15 million tpy of LNG.
BG Group and Energy Transfer are expected to make final investment decisions (FID) on the LNG project in 2016, with construction to start immediately following a positive decision. First LNG exports are anticipated about four years later.
Helge Lund, BG Group Chief Executive, said: “We are pleased to receive the approval from FERC, an important milestone as we progress the Lake Charles project towards a final investment decision. By utilising a brownfield site, and the ready supply of gas from the US grid, Lake Charles LNG offers one of the largest and most competitive new LNG supply options in the marketplace.”
Edited from press release by Callum O'Reilly