Cheniere Energy Nears Construction Phase on a New LNG Terminal

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). Cheniere Energy Incorporated (AMEX:LNG) (Houston, Texas), through its subsidiary Freeport LNG Development LP (Houston Texas), is nearing construction on its new Freeport LNG terminal (01008554). Cheniere Energy is planning to begin site construction on the $400 million facility early in the third quarter of 2004, after receiving its final FERC certificate of approval. The proposed facility will have a daily natural gas re-gasification and send out capacity of 1.5 Bcf and supporting infrastructure will include three 160,000 cubic meter cryogenic storage tanks and a 9.5-mile 36" diameter natural gas pipeline (PEC 01009515).

Cheniere Energy has awarded the process-engineering contract to Technip-Coflexip (Houston Texas) and expects to award the E+P+C contract late in the second quarter of 2004.

The Freeport LNG terminal is one of a total of five LNG terminals Cheniere Energy is planning on the Gulf Coast and the most advanced development wise. The other four Cheniere LNG projects in planning are Sabine Pass (Louisiana side) (PEC 02005137), Corpus Christi Texas (PEC 01008551), Pinto Island Alabama (PEC 04002743) and Brownsville Texas (PEC 01008557). The last two mentioned projects being the least developed and Sabine Pass & Corpus Christi are in the early FERC permitting phases.