May 28 (Reuters) - U.S. energy company Glenfarne Group
LLC has asked federal energy regulators to give it until
November 2029 to put its proposed Texas LNG export plant into
service, according to a filing made available on Tuesday.
Texas LNG is one of more than three dozen LNG export plants
being developed in the U.S., Mexico and Canada, some of which
have been under development for many years.
The U.S. Federal Energy Regulatory Commission approved
construction of Texas LNG in November 2019. That order gave the
company five years, until November 2024, to construct the
facility and place it into service.
"We expect this to be approved without impacting the project
or its timeline," Brendan Duval, CEO and founder of Glenfarne
Energy Transition, told Reuters.
On average, it costs about $800-$1,000 per tonne to build an
LNG export plant, so the Texas LNG project would likely cost
between $3.2 billion and $4 billion, according to an estimate by
Reuters.
Glenfarne said in its FERC filing that the project was
delayed due to "extenuating circumstances outside of Texas LNG's
control," including litigation by the Sierra Club environmental
group challenging FERC's orders authorizing the project and
other fights over state permits.
Glenfarne wants to build two liquefaction trains at Texas
LNG that together would be able turn about 0.5 billion cubic
feet per day (bcfd) of natural gas into about 4 million tonnes
per annum (MTPA) of LNG.
One billion cubic feet of natural gas is enough to supply
about 5 million U.S. homes for a day.
The U.S. is the biggest global LNG exporter and currently
has the capacity to produce around 104.6 MTPA of LNG.
In addition to producing LNG for its own power plants,
Glenfarne has said it also wants to sell LNG to other companies
to help finance its projects.
Glenfarne already has nonbinding LNG supply agreements with
units of Swiss commodities trader Gunvor and U.S. energy company
EQT, the biggest U.S. gas producer, according to its
FERC filing.
Glenfarne is also developing the 8.8 million tonnes per
annum Magnolia LNG export plant, to be located in Lake Charles,
Louisiana.
"Once DOE completes its analysis, we are confident they will
see the benefits Magnolia LNG brings to advance the energy
transition" Duval added.