The Federal Energy Regulatory Commission on Monday extended the authorization to build the onshore portion of the deepwater Delfin LNG export project.
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FERC staff gave Delfin LNG a one-year extension to September 28, 2020, to complete construction of the onshore facilities and put them in service. The developer had requested an extension of 3 1/2 years.
FERC did not give a reason for choosing the shorter extension, other than to say that it based the decision on information in the Delfin LNG request for the extension. Delfin LNG had described detailed engineering work and "the complexity of developing the necessary commercial arrangements" as the reasons why development had moved more slowly than expected.
FERC's approval of the onshore facilities in September 2017 required Delfin LNG to make the facilities available for service within two years of the order, but in June the developer asked for an extension until March 28, 2023.
The onshore facilities would include metering, compression and piping infrastructure in Cameron Parish, Louisiana. The facilities would connect to floating vessels roughly 40 nautical miles off the coast of Louisiana that would liquefy natural gas for export. The project would include four floating gas liquefaction vessels capable of producing a total of 13 million metric tons per year of LNG.
The Delfin LNG project is being jointly developed by Fairwood Peninsula Energy's Delfin Midstream and Golar LNG. Delfin LNG has secured major permits but has not made a final investment decision.
-- Edwin Vladimir Mengullo, S&P Global Market Intelligence, firstname.lastname@example.org
-- Edited by Joe Fisher, email@example.com