Texas LNG project makes progress with permitting

Monday, 01 April 2019
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The U.S. Federal Energy Regulatory Commission (FERC) has delivered a final environmental impact statement for the Texas LNG export project, giving the green light for proposed project in the Port of Brownsville.

“We determined that the impacts on the environment from the proposed project would be reduced to less than significant levels with the implementation of Texas LNG’s proposed impact avoidance and minimization,” said the FERC.

The Texas LNG terminal – one of several ventures planned for the Brownsville area – would be constructed in an area currently zoned for industrial use along the existing Brownsville Ship Channel and is designed to produce up to 4 mtpa of LNG. The project involves building two liquefaction Trains and support facilities as well as two LNG storage tanks, each of around 210,000 cubic metres capacity.

Developers await final FERC approval in the next few months to be able to start construction as they aim for LNG production to commence by 2024. A final investment decision (FID) for Texas LNG is scheduled to be taken in the months ahead, provided completion of all commercial agreements and financing.

Samsung Engineering will provide all technical and engineering services for the project and is expected to take a minority stake in the venture. The development will involve Samsung ordering liquefaction modules to be fabricated elsewhere and transported to the site.

Three projects in the making at Brownsville Ship Channel

In addition to Texas LNG, at least two other firms also want to build export facilities at Brownsville, Exelon Corp’s Annova Brownsville project and NextDecade Corp’s Rio Grande project. In this context, the US Coast Guard also issued a letter of recommendation indicating that the Ship Channel would be considered suitable for the projected LNG marine traffic associated with the project. The US Department of Transportation noted there could be some cumulative environmental impacts from several LNG export projects operating in the area.

“The Texas LNG Project, combined with other projects in the geographic scope, including the Rio Grande LNG and Annova LNG projects, would result in significant cumulative impacts from sediment-turbidity and shoreline erosions within the Brownsville Ship Channel during operations from vessel transits,” regulator said. 

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