Texas LNG Continues Progress in Regulatory Process

Texas LNG Brownsville LLC announced that on May 14, 2015, Resource Reports #1 and #10 were submitted to the Federal Energy Regulatory Commission (FERC) in accordance with the FERC NEPA Pre-fling process schedule for the proposed liquefied natural gas (LNG) export facility in Brownsville, Texas. 

Resource Report #1 – General Project Description - provides a detailed overview of Project facilities including plot plans, schedules, and required permits. Resource Report #10 – Alternatives - describes the selection process for Project location, process and power generation, and site layout configuration.  The reports can be downloaded from the FERC website or from the Texas LNG website. 

Texas LNG is planning to build the Brownsville Project in two phases, each with LNG production of 2 million tonnes per annum (MTA). Pending FERC’s final approval to construct the Project, Phase 1 is expected to commence production in 2020. FERC regulates the siting, construction, operation, and maintenance of the physical LNG terminal and related infrastructure. More information about the pre-filing process and public participation in the regulatory process can be found at www.ferc.gov.

On May 5 and 6, 2015, Texas LNG hosted Open Houses in Brownsville and Port Isabel, Texas. Participants included FERC'd project staff, FERC’s environmental consultant, and the Port of Brownsville. Both events were well attended by elected officials, local government representatives, community leaders, school teachers, students, and other members of the public. An estimated 200 and 150 guests attended the Brownsville and Port Isabel events, respectively.  The Texas LNG team included representatives from Samsung Engineering Co., Ltd., Braemar Engineering, NRG, K&L Gates, Greenberg Traurig, and Royston Rayzor. Feedback and information was exchanged during the events.  

Texas LNG’s equity and engineering partner, Samsung Engineering, has deployed a dedicated team of over eighty experienced engineers and project staff at its headquarters, Samsung Global Engineering Center, in Seoul, Korea to the Project. As of the end of May 2015, Samsung Engineering has completed six out of the 12 month Front End Engineering and Design (FEED) study and over 77,000 cumulative engineering man-hours since mid 2014.  Engineering efforts are focused on providing cost efficient, reliable, well proven and safe solutions that will use modular construction and shipyard efficiencies and leverage local South Texas labor and company resources.

In early 2015, Texas LNG executed a Process Study Agreement with Air Products to apply its proven and robust C3MR liquefaction process design. Air Products is the leading supplier of natural gas liquefaction technology and main cryogenic heat exchangers.  The majority of LNG produced worldwide, including those in Qatar, Malaysia, Indonesia and many other countries, comes from plants utilizing Air Products’ C3MR technology.

Texas LNG also has executed a License Agreement to use natural gas pretreatment technologies by UOP, including the UOP Amine Guard FS process, and molecular sieve dehydration and mercury capture technologies.  UOP, a Honeywell company, is a global leader in gas processing technologies and equipment. Both Air Products and UOP specifications and data are being integrated into the FEED study in progress.           

Texas LNG remains on track to delivering first shipments of LNG from 2020.