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Released May 07, 2025 | SUGAR LAND
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Written by Daniel Graeber for Industrial Info Resources (Sugar Land, Texas)--Among the first liquefied natural gas (LNG) export projects sanctioned by the Trump administration, Commonwealth LNG said it signed a deal with an undisclosed Asian buyer to sell about 10% of the project's total capacity.
Commonwealth, a Kimmeridge (New York, New York) company, said it signed a 20-year sale and purchase agreement to deliver about 132 million cubic feet of gas in the liquid form per day from a facility that will have a nameplate capacity of 1.3 billion cubic feet per day (Bcf/d).
The undisclosed Asian buyer, Commonwealth said, is currently one of the largest global suppliers of LNG.
"This offtake agreement marks another important milestone for Commonwealth as we work toward a final investment later this year and first offtake planned for 2029," said Ben Dell, a managing partner of Kimmeridge and chairman of Commonwealth.
Commonwealth will be an export facility situated on the west bank of the Calcasieu ship channel to the Gulf of Mexico near Cameron, Louisiana. The facility would boast six storage tanks with a net capacity of 10,500 cubic feet and will be able to accommodate vessels up to 760,000 cubic feet.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can read detailed reports for projects related to Commonwealth LNG here.
President Donald Trump, a Republican keen on bolstering U.S. energy dominance, has made LNG a priority so far during his second, non-consecutive term in office. He used an emergency declaration to support fast-tracking several projects, arguing the United States needs more production to ensure energy security.
In March, Energy Secretary Chris Wright awarded an export permit extension for Delfin LNG, an offshore LNG export terminal some 40 nautical miles from the coast of Louisiana. An extension for existing permits for trade to countries without a U.S. free-trade agreement was necessary because of construction issues during the COVID-19 pandemic.
Delfin marked the second facility to get a permit extension from the Trump administration so far this year, after Golden Pass.
Commonwealth LNG also received a new permit earlier this year.
"We're committed to building and creating a safe, reliable, efficient and well-governed LNG operating company," said Farhad Ahrabi, Commonwealth's president and chief executive officer.
Terms of the sales agreement were not disclosed. The deal is subject to a final investment decision.
The United States shipped out its first batch of LNG in 2016 and became the world leader in 2022 at a time when global energy security was upended by the sanctions imposed on energy-rich Russia for its invasion of Ukraine.
During a tenure that ended in 2024, former President Joe Biden enacted a pause on new LNG export facilities to examine the potential emissions up and down the supply chain. Natural gas is made up primarily of methane, a potent energy carrier that has a far greater warming potential than carbon dioxide.
That order was later paused by the courts and eventually unraveled by Trump's executive action.
Data from IIR Energy show the amount of feedgas arriving at LNG export terminals declined to around 14.8 Bcf/d, from recent highs closer to 16 Bcf/d, due to maintenance on a pipeline feeding the Cameron LNG facility, operated by Cheniere Energy (Houston, Texas). Pipeline cleaning and inspection should run through Thursday.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
Commonwealth, a Kimmeridge (New York, New York) company, said it signed a 20-year sale and purchase agreement to deliver about 132 million cubic feet of gas in the liquid form per day from a facility that will have a nameplate capacity of 1.3 billion cubic feet per day (Bcf/d).
The undisclosed Asian buyer, Commonwealth said, is currently one of the largest global suppliers of LNG.
"This offtake agreement marks another important milestone for Commonwealth as we work toward a final investment later this year and first offtake planned for 2029," said Ben Dell, a managing partner of Kimmeridge and chairman of Commonwealth.
Commonwealth will be an export facility situated on the west bank of the Calcasieu ship channel to the Gulf of Mexico near Cameron, Louisiana. The facility would boast six storage tanks with a net capacity of 10,500 cubic feet and will be able to accommodate vessels up to 760,000 cubic feet.
Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Production Project Database can read detailed reports for projects related to Commonwealth LNG here.
President Donald Trump, a Republican keen on bolstering U.S. energy dominance, has made LNG a priority so far during his second, non-consecutive term in office. He used an emergency declaration to support fast-tracking several projects, arguing the United States needs more production to ensure energy security.
In March, Energy Secretary Chris Wright awarded an export permit extension for Delfin LNG, an offshore LNG export terminal some 40 nautical miles from the coast of Louisiana. An extension for existing permits for trade to countries without a U.S. free-trade agreement was necessary because of construction issues during the COVID-19 pandemic.
Delfin marked the second facility to get a permit extension from the Trump administration so far this year, after Golden Pass.
Commonwealth LNG also received a new permit earlier this year.
"We're committed to building and creating a safe, reliable, efficient and well-governed LNG operating company," said Farhad Ahrabi, Commonwealth's president and chief executive officer.
Terms of the sales agreement were not disclosed. The deal is subject to a final investment decision.
The United States shipped out its first batch of LNG in 2016 and became the world leader in 2022 at a time when global energy security was upended by the sanctions imposed on energy-rich Russia for its invasion of Ukraine.
During a tenure that ended in 2024, former President Joe Biden enacted a pause on new LNG export facilities to examine the potential emissions up and down the supply chain. Natural gas is made up primarily of methane, a potent energy carrier that has a far greater warming potential than carbon dioxide.
That order was later paused by the courts and eventually unraveled by Trump's executive action.
Data from IIR Energy show the amount of feedgas arriving at LNG export terminals declined to around 14.8 Bcf/d, from recent highs closer to 16 Bcf/d, due to maintenance on a pipeline feeding the Cameron LNG facility, operated by Cheniere Energy (Houston, Texas). Pipeline cleaning and inspection should run through Thursday.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking over 200,000 current and future projects worth $17.8 Trillion (USD).
