LNG

Egyptian Natural Gas Holding Company (EGAS) strives to source more LNG to meet the country’s growing gas deficit via a second floating regas terminal. The ‘Energos Winter’ FSRU, chartered from New Fortress Energy, is currently en route to Damietta Port, where it will join the Energos Eskimo before the end of August.

New Fortress Energy said that after successfully producing LNG at its first floating LNG production unit offshore Altamira in the Gulf of Mexico the firm has now closed a $700 million loan for its second FLNG unit.

“Now operational, FLNG 1 expects to deliver its first cargo in August and enter full production thereafter,” said NFE.

The new loan will fully fund the construction of the FLNG II units,” added NFE.

This project will be developed in partnership with the Mexican state agency, the Federal Electricity Commission.

It will “utilize the extensive in-place terminal infrastructure onshore” in Altamira.

The new liquefaction unit will incorporate the same proprietary modular technology as the first Mexican project, from Atlanta-based Chart Industries.

This second Mexican project is scheduled to complete the construction phase in the first half of 2026.

“Our FLNG complex is advancing at a rapid pace as we have now produced LNG at our first unit, and fully financed our second,” said Wes Edens, Chairman and Chief Executive of NFE.

Project values

“These are large infrastructure projects that add considerable financial and operational value to our company and we are thrilled with the progress to date,” stated Edens.

NFE’s “Fast LNG” project comprises modular, midsize liquefaction technology with jack-up rigs to enable lower costs

The company’s other main assets comprise two LNG import terminals in Brazil, one at Santa Catarina in the south and a second at Barcarena in the state of Pará in the far northeast of Brazil.

Chart Industries, the US equipment-maker for liquefied natural gas and other clean energy and industrial gases markets, said its technology enabled the delivery of first LNG to the New Fortress Energy production project offshore Altamira in the Gulf of Mexico.

July 19 (LNGJ) - New Fortress Energy has achieved first LNG for its initial “Fast LNG” production asset located offshore Altamira in the Gulf of Mexico. NFE’s proprietary “Fast LNG” design is the first of its kind, pairing the latest advancements in modular liquefaction technology with jack-up rigs or similar offshore infrastructure to enable a faster deployment schedule than traditional liquefaction facilities.

   The facility has production capacity of 1.4 million tonnes per annum. “This represents a transformative moment for our company and the industry as a whole, and reaffirms our position as a fully integrated leader in the global LNG market,” said Wes Edens, Chairman and Chief Executive of NFE. The company stated that the FLNG production success added more than $2 billion of infrastructure to the company’s asset base, “greatly improving the operational capabilities, financial flexibility and credit profile” of NFE.

New Fortress Energy Inc., the US LNG and power company that owns and operates facilities in five countries, has agreed to sell its small-scale liquefaction and storage facility in Miami in Florida.

The facility is being sold to a US middle-market infrastructure fund, which NFE declined to name along with the value of the transaction. NFE added that the transaction was expected to close in the third quarter of 2024 subject to customary terms and conditions.

The small-scale LNG liquefaction plant in Miami can process 100,000 gallons of natural gas every day for delivery to commercial, industrial and transportation customers throughout South Florida and the Caribbean.

The facility has three LNG storage tanks with a total capacity of around 1,000 cubic metres as well as two separate LNG transfer areas capable of serving both truck and rail.

Export permit

The facility is additionally authorized to export up to 60,000 tonnes per annum of LNG to Free Trade Agreement and Non-FTA countries for a 20-year term that began on February 5, 2016.

“The Miami Facility is the inaugural asset of NFE and we are proud to have built this best-in-class infrastructure,” said Wes Edens, Chairman and Chief Executive of NFE, listed on the Nasdaq global exchange.

“The sale highlights our commitment and execution of our asset sale program, allowing us to reduce debt and recycle proceeds into high return downstream projects,” Edens added.

The Miami plant sale follows NFE’s decision in mid-June to push back the schedules for first LNG at its floating liquefaction plant offshore Altamira in the Gulf of Mexico. The first cargo is being shipped during July rather than June

Mexico cargoes

The FLNG production facility is located in Mexican waters of the Gulf of Mexico offshore the port of Altamira where there is already an onshore LNG import terminal.

NFE said that the work necessary to begin operations was complete and the company had also completed the full remainder of pre-commissioning activities.

The FLNG facility has also received a positive ruling from the US Customs and Border Protection agency confirming that the transportation of LNG produced at NFE’s FLNG unit can transport cargoes on non-US Jones Act qualified vessels.

As a result of this ruling, NFE will be able to sell and deliver LNG produced at its FLNG facility offshore Mexico to US locations, including the territory of Puerto Rico.

The progress on FLNG in the Gulf of Mexico comes amid advances in import and power projects in the South American nation of Brazil.

NFE has now commenced operations in Brazil at both of its LNG import terminals and has 2.2 gigawatts of power plants under construction.

New Fortress Energy, the US LNG and power company that owns and operates facilities in five countries, has extended the schedules for first LNG at the floating liquefaction plant offshore Altamira in the Gulf of Mexico and the first cargo will now be shipped in July rather than June.

Wes Edens, Chairman and Chief Executive of New York-based NFE, had previously said that the first cargo from the FLNG facility was expected in June.

The FLNG production facility is located in Mexican waters of the Gulf of Mexico offshore the port of Altamira where there is already an onshore LNG import terminal.

“The company has made tremendous progress on its path towards the start of liquefaction operations,” said a statement from New Fortress, which is listed on the Nasdaq global exchange

“As of June 14, the work necessary to begin operations is complete and the company has also completed the full remainder of pre-commissioning activities,” explained NFE.

Revisions

“The company now expects to produce LNG in the next 10 days, and then expects to be able to deliver its first cargo in July,” the company added.

The FLNG facility has also received a positive ruling from the US Customs and Border Protection agency confirming that the transportation of LNG produced at NFE’s FLNG unit can transport cargoes on non-US Jones Act qualified vessels.

As a result of this ruling, NFE will be able to sell and deliver LNG produced at its FLNG facility offshore Mexico to US locations, including the territory of Puerto Rico.

The progress on FLNG in the Gulf of Mexico comes amid advances in import and power projects in the South American nation of Brazil.

NFE has now commenced operations in Brazil at both of its LNG import terminals and has 2.2 gigawatts of power plants under construction.

One of the NFE Brazilian terminals is located at Barcarena in the northeast state of Pará.

The second is at Santa Catarina, located in the state of the same name in the far south of Brazil.

NFE noted that along with the existing 630 megawatt power plant and a 25-year agreement, the Barcarena terminal would supply LNG to power capacity owned by NFE.

New Fortress Energy, the US integrated LNG and power company that owns, operates or provides natural gas to 30 facilities in five countries, reported a rise of over 20 percent in revenues and progress on key projects, including the Mexican floating production plant.

Petróleo Brasileiro S.A., the Brazilian major known as Petrobras, has signed an accord with Turkey’s Karpowership to combine their expertise to expand projects in Brazil in the floating liquefied natural gas, regasification and liquefaction sectors.

New Fortress Energy, the US integrated LNG and power company that owns, operates or provides natural gas to 30 facilities in five countries, has signed an engineering contract to build a gas-fired power plant adjacent to its Barcarena LNG import terminal in Pará, the northeast Brazilian state.

Brazil is seeking more natural gas to meet rising gas-fired power needs and has held talks with Argentina and Bolivia on reversing pipeline flows to transport Argentinian supplies from the Vaca Muerta shale-gas basin.