LNG

Freeport LNG is continuing the restart of the Texas plant at Quintana Island on a phased basis after Hurricane Beryl damaged some plant equipment while the local Texas power company is hoping to re-connect all customers by July 19.

“We are completing initial repairs on the damage sustained to our fin-fan air-coolers in the hurricane,” said a Freeport spokesperson.

The Freeport plant is located 40 miles to the northeast of the hurricane’s landfall at Matagorda in Texas on July 8.

The company said it was restarting its first LNG Train and intended to re-start the two other liquefaction Trains shortly afterwards for output to progress to the nameplate capacity of 15 million tonnes per annum.

Reduced rates

However, output is expected to be at reduced rates at the plant that is experienced in re-starts after an explosion and fire at the facility in November 2022.  Most of 2023 was then spent carrying out repairs and having them approved after testing.

Regulatory and energy safety bodies are against quick re-starts until full safety checks have been carried out.

The Freeport plant has also had to await the lifting of port restrictions by the US Coast Coast and actions by other state bodies in the hurricane aftermath.

Power supplies across the state are expected to be 98 percent restored by July 17.

CenterPoint Energy, headquartered in Houston, Texas, is the main energy delivery company in the area responsible for electric transmission and distribution and natural gas supplies and has still to fully restore power.

CenterPoint said it had now restored power to 92 percent of impacted customers and remained on track to restore electricity to around 98 percent of impacted customers by the end of the day on Wednesday, July 17.

The company said it then expected to restore power to all customers who can receive it by Friday, July 19.

“We are grateful to our crews who have restored power to our customers at a stronger pace than we have been able to in any hurricane in our history, despite the difficult conditions,” explained Lynnae Wilson, Senior Vice President, Electric Business.

Work teams

“We continue to work around-the-clock to get our remaining customers back online,” she stated.

In addition to damaging CenterPoint's electric infrastructure, the company said that Hurricane Beryl may have caused damage to customer-owned equipment.

Specifically, customers in Texas were being asked to check their weatherhead, the point where power enters the home through an electric service drop, which is often a pipe located on the side of the residence or building.

“If the weatherhead is damaged, crews cannot safely restore service to the home until a licensed electrician has made the necessary repairs,” CentrePoint added.

Freeport LNG, the US export facility on Quintana Island in Texas, is set for regular operations as port restrictions are lifted after Hurricane Beryl and as power supplies across the state are expected to be 80 percent restored by July 14.

The US Government forecasts increases in liquefied natural gas exports as well as higher benchmark Henry Hub natural gas prices and a rise in the Brent crude oil price in early 2025, while outlining working gas storage expectations at end of injection season.

The US was taking hurricane protection measures for July 7 and July 8 as the first major storm of the season, Hurricane Beryl, blew past Jamaica and Mexico and entered the Gulf of Mexico as a severe Tropical Storm headed for Texas and Louisiana, the centres of oil and gas and LNG and feed-gas supplies.

Mexico has taken hurricane protection measures through July 7 as the first major storm of the season Hurricane Beryl blew past Jamaica towards Mexico, leading to the closure of airports at Cancún and elsewhere and putting the oil and gas industry on watch in the Gulf of Mexico where most of the US LNG is produced.