American Oil and Gas Reporter - March 2023 - 24

IndustryDigest
Quantum's support to facilitate a
consolidation of such an opportunity-rich
basin, " he says. " Finally, we are excited
about the operational scale we have
rapidly achieved at Bison IV and look
forward to achieving even greater scale
through acquisitions and development. " ❒
Freeport Gets Nod
To Resume Exports
HOUSTON-Freeport LNG
Development LP indicates it has
received regulatory approval to
commence commercial operations of
the company's natural gas liquefaction
and export facility. The authorization
provides for the immediate full return
to service of one liquefaction train,
which already has restarted, and the
incremental restart and full return to
service of a second train.
According to the company, the
restart and return to service of Freeport
LNG's third liquefaction train will
require subsequent regulatory approval
once certain operational conditions are
met. A conservative ramp-up profile to
establish three-train production of
approximately 2.0 billion cubic feet a
day is anticipated to occur through late
March or early April, as stable operation
of each incremental train is established
and maintained.
First LNG production and ship
loading from the facility began on Feb.
11, the company notes.
" Returning to liquefaction operations
is a significant achievement for Freeport
LNG, " maintains Freeport LNG
founder, Chairman and Chief Executive
Officer Michael Smith. " Over the past
eight months, we have implemented
enhancements to our processes,
procedures and training to ensure safe
and reliable operations, and
significantly increased staffing levels
with extensive LNG and petrochemical
operating experience to reduce
overtime, enhance operational
excellence, and improve quality
assurance and business performance.
" Eight months of diligence,
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24 THE AMERICAN OIL & GAS REPORTER
discipline and dedicated efforts by our
teams, working collaboratively
alongside the regulatory agencies and
local officials, have positioned us to
resume LNG production and commence
ramp-up to the safe establishment of
commercial operations of our
liquefaction facility, " Smith adds. ❒
Cheniere Looks To
Expand Sabine Pass
HOUSTON-Cheniere Energy
Partners LP indicates that its
subsidiaries have initiated the pre-filing
review process under the National
Environmental Policy Act with the
Federal Energy Regulatory Commission
for the proposed Sabine Pass Stage 5
Expansion Project adjacent to the
existing Sabine Pass facility. Cheniere
says the expansion project has a total
production capacity of approximately
20 million tonnes per annum of
liquefied natural gas.
According to the company, the
expansion project is being designed to
include as many as three large-scale
liquefaction trains, each with a
production capacity of approximately
6.5 mtpa of LNG; a boil-off-gas
liquefaction unit; and two LNG storage
tanks. The project's design will
accommodate waste heat recovery as
well as carbon capture from acid gas
removal units.
Cheniere says it is considering
enhancing the facility's capabilities,
such as optimizing ship loading at the
existing marine facilities. Feed gas
related to the project is expected to be
transported through a combination of
new and existing pipelines supplying
Sabine Pass, the company adds.
Cheniere Partners says it has
engaged Bechtel Energy Inc. to
complete a front-end engineering and
design study of the expansion.
" As the first and largest LNG export
facility in the Lower 48, Sabine Pass
has pioneered an industry critical to
supplying reliable, flexible, and cleaner
burning natural gas to markets and
customers around the world, and we
look forward to significantly growing
those capabilities through the SPL
Expansion Project, " relates Jack Fusco,
Cheniere Partners chairman, president
and chief executive officer. " The SPL
Expansion Project is being designed to
leverage the infrastructure platform we
have built at Sabine Pass to deliver
economically advantaged incremental
LNG capacity in a safe and
environmentally responsible manner. "
❒
Gas Storage Volumes
Surge Almost 20%
Past Five-Year Average
WASHINGTON-Underground
natural gas storage in the United States
stood at 2.114 trillion cubic feet on Feb.
24, 19.3% above the five-year average,
according to the U.S. Energy
Information Administration. That was
down 469 billion cubic feet from the
2.583 Tcf in storage on Jan. 27 and 451
Bcf more than a year ago, when gas
storage stood at 1.663 Tcf.
Gas storage in the East Region was
451 Bcf on Feb. 24, 15.6% above the
five-year average, and 121 Bcf less
than on Jan. 27, when storage stood at
578 Bcf, 3.2% below the five-year
average. East Region gas storage on
Feb. 24 increased 88 Bcf from a year
ago, EIA reports.
In the Midwest, gas storage stood at
544 Bcf on Feb. 24, 22.0% above the
five-year average and 164 Bcf less than
the 708 Bcf in storage on Jan. 27, which
was 7.9% above the five-year average.
Feb. 24 Midwest gas storage was 133
Bcf more than a year ago.
In the Mountain Region, EIA
continues, gas storage was 99 Bcf on
Feb. 24, 1.0% below the five-year
average and 33 Bcf below the 132 Bcf
stored on Jan. 27, which was 3.6%
below the five-year average. Feb. 24 gas
storage in the Mountain Region was 2
Bcf more than a year ago.
The Pacific Region's gas in storage
was 99 Bcf on Feb. 24, 43.8% below the
five-year average and 41 Bcf below the
140 Bcf stored on Jan. 27, which was
34.3% below the five-year average.
Pacific Region gas storage on Feb. 24
was down 67 Bcf from a year ago.
In the South-Central Region, gas
storage levels on Feb. 24 were 922
Bcf, 39.7% above the five-year
average and 103 Bcf less than the
1.025 Tcf in storage on Jan. 27, which
was 20.0% above the five-year
average. The Feb. 24 gas storage level
for the South-Central Region was up
297 Bcf from a year ago. ❒
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American Oil and Gas Reporter - March 2023

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