HOUSTON--(BUSINESS WIRE)--BG Group (LSE: BG.L) announced today that Trunkline LNG Company, LLC, and Trunkline LNG Export, LLC, each a wholly-owned subsidiary of Energy Transfer Equity, L.P. (NYSE: ETE) and Energy Transfer Partners, L.P. (NYSE: ETP) (collectively, “Energy Transfer”), have filed an application with the Federal Energy Regulatory Commission (FERC) seeking the Commission’s authorization for the siting, construction, ownership and operation of the proposed Lake Charles LNG Export project.
The FERC filing represents the culmination of significant front-end engineering design (FEED) work and pre-filing consultations with the FERC and other federal, state and local agencies that have been underway since mid-2012. Pending final investment decisions and the receipt of all necessary approvals expected in 2015, construction will start shortly afterwards, with first LNG exports anticipated in the second quarter of 2019.
In August 2013 the U.S. Department of Energy conditionally granted authorization to export up to 2 billion cubic feet per day (or approximately 15 million metric tonnes per annum) of LNG from the existing Trunkline LNG import terminal to non-free trade agreement nations.
The proposed project is being developed to liquefy domestic supplies of natural gas for export to meet growing global demand for LNG. Exporting LNG to world markets is expected to provide economic and employment related benefits for the U.S., including approximately 250 operational positions and several thousand jobs during the proposed project’s construction phase.
The proposed project will include the construction of three liquefaction trains and use the existing LNG storage and marine berthing facilities owned by Trunkline LNG Company, LLC. Energy Transfer has secured all property rights required for the site of the proposed liquefaction facility.
Energy Transfer will own and finance the proposed facility and BG Group is responsible for the offtake. BG Group will also select the engineering, procurement and construction contractor and manage construction. Upon completion, BG Group will operate the proposed facility under a long-term agreement with Energy Transfer. Trunkline Gas Company, LLC (a wholly-owned subsidiary of Energy Transfer), will provide pipeline transportation services to supply natural gas to the proposed facility.
Notes to Editors:
BG Group plc (LSE: BG.L) is a world leader in natural gas, with a broad portfolio of business interests focused on exploration and production and liquefied natural gas. Active in more than 20 countries on five continents, BG Group combines a deep understanding of gas markets with a proven track record in finding and commercializing reserves.