The next US LNG export plant aims to start production in mid-2024

(Bloomberg) — Venture Global LNG Inc. expects to begin production at its second liquefied natural gas export facility in Louisiana in mid-2024, further cementing the U.S. as the world’s largest supplier of super-chilled fuel.

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The Arlington, Virginia-based company has requested approval to receive an LNG shipment to cool its equipment as part of the ramp-up process at the Plaquemines LNG facility, according to an April 22 regulatory filing. That is an important step before LNG exports can be carried out. to start.

The shale revolution has freed up vast reserves of natural gas in the US, helping the country surpass Qatar and Australia as the biggest LNG exporter last year. U.S. supplies are expected to double by the end of this decade as demand in Asia grows rapidly and Europe moves to replace Russia’s pipeline gas.

Plaquemines, currently under construction, received some gas supplies to the Gator Express Louisiana pipeline last week. The total planned capacity of the plant is 20 million tons per year, with 10 million tons to be produced in the first phase.

In an import permit application to the Department of Energy, Venture Global said the facility will need to import LNG from abroad to the facility to cool the plant for cryogenic operations and “could potentially receive three LNG carriers.” The producer said that all Plaquemines imports would take place this year.

A spokesperson for Venture Global declined to comment Saturday, citing the filing.

Venture Global would be the eighth U.S. LNG export facility. Venture Global’s first facility – Calcasieu Pass – began producing LNG in 2022, but is not expected to become commercially operational until late 2024. That has delayed the start of deliveries to key customers at Calcasieu Pass, including Shell Plc., BP Plc. and Repsol SA, which have initiated arbitration proceedings disputing that their contracts should have commenced earlier.

–With assistance from Stephen Stapczynski.

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