Excelerate Liquefaction Solutions (Port Lavaca 1) LLC and a companion company on March 31 asked the Federal Energy Regulatory Commission for another short hold on its consideration of a liquefied natural gas (LNG) project while they re-look at project economics.
In February 2014, Excelerate Liquefaction Solutions (Port Lavaca 1) and Excelerate Liquefaction Solutions (Port Lavaca 2) LLC submitted an application under the Natural Gas Act to site, construct, and operate a terminal for the export of LNG. Concurrently, Lavaca Bay Pipeline System LLC submitted an abbreviated application for a certificate of public convenience and necessity under the NGA to construct, own, operate, and maintain a proposed interstate natural gas pipeline to serve this LNG terminal.
In a December 2014 letter, Excelerate requested that the commission place the applications in abeyance until April 1 while Excelerate undertook a strategic reconsideration of the economic value of the project. In the March 31 request, Excelerate moved to continue the abeyance until Sept. 1. “Granting of the motion would allow Excelerate to complete its internal evaluation of the economic value of the Project and help to prevent the unnecessary expenditure of resources by both Excelerate and the Commission during this period,” said the delay request.
FERC has been in the early stages of processing this application from affiliates of Excelerate Energy LLC for an LNG terminal in Texas that will include on-site power generation. Those Excelerate affiliates are seeking authority to site, construct, and operate an LNG floating liquefaction, storage, and offloading unit (FLSO) and related facilities to be located in and around the Port of Port Lavaca-Point Comfort, Texas. Each proposed FLSO will have an LNG peak production capacity of up to 5 million tonnes per annum (mtpa), for a total peak production capacity of up to 10 mtpa.
Electrical power to the on-shore facilities will be supplied by a combination of six gas and two steam turbines. The gas turbines will be fueled by gas supplied by the LNG Terminal liquefaction customers and the steam turbines will run continuously using heat recovery steam generators installed within the exhaust ducts of the gas turbines. Emergency power supply for the on-shore facilities will be provided by diesel generators that are equipped with an electric starter and have black-start capability.