The Federal Energy Regulatory Commission on July 17 released a draft environmental impact statement (EIS) for the Magnolia LNG Project proposed by Magnolia LNG LLC and the Lake Charles Expansion Project proposed by Kinder Morgan Louisiana Pipeline LLC.
The Magnolia LNG Project, which would include gas turbine and power generation components, involves construction and operation of a liquefied natural gas (LNG) terminal that would include various liquefaction, LNG distribution, and related facilities. The Lake Charles Expansion Project would include reconfiguration of Kinder Morgan’s existing pipeline system in order to accommodate Magnolia’s request for natural gas service at the LNG terminal site. The projects would provide an LNG export capacity of 1.08 billion cubic feet per day of natural gas.
The draft EIS, out for comment until Sept. 7, assesses the potential environmental effects of construction and operation of the Magnolia LNG and Lake Charles Expansion Projects in accordance with the requirements of the National Environmental Policy Act (NEPA). The FERC staff concludes that approval of the proposed projects would result in adverse environmental impacts; however, these impacts would be reduced to less-than-significant levels with the implementation of Magnolia’s and Kinder Morgan’s proposed mitigation and the additional measures recommended in the draft EIS.
In April 2014, Magnolia LNG filed an application with FERC the the Magnolia LNG Project. In June 2014, Kinder Morgan Louisiana Pipeline (KMLP) filed the application for its project, which involves construction and operation of system modifications that would allow the delivery of natural gas to Magnolia’s proposed LNG terminal using a new north-to-south path on KMLP’s system. The proposed system modifications would be within Acadia, Calcasieu, and Evangeline parishes, Louisiana.
Magnolia’s proposal, referred to in this EIS as the Magnolia LNG Project, would be located on approximately 114 acres of a 115-acre parcel of land on the south shore of the Industrial Canal that is about nine miles southwest of the city of Lake Charles, Louisiana. The Magnolia LNG Project, which is currently expected to begin operation at the end of 2018, would produce a nominal capacity of approximately 8.0 million (metric) tonnes per annum (MTPA) of LNG during the 30-year life of the project. The LNG terminal would receive natural gas via KMLP’s existing interstate pipeline, which traverses the proposed terminal site.
The natural gas would be liquefied using four liquefaction trains that each have a nominal capacity of 2.0 MTPA (total nominal capacity of about 8.0 MTPA), and stored onsite in two full containment LNG storage tanks with a capacity of approximately 160,000 cubic meters. The LNG would be loaded onto LNG carriers for export overseas; LNG carriers and LNG barges for domestic marine distribution and the possibility of LNG bunkering; and LNG trucks for road distribution to LNG refueling stations in Louisiana and surrounding states.
KMLP operates a 133-mile-long natural gas pipeline system that originates at the Cheniere Sabine Pass LNG terminal in Cameron Parish, Louisiana, and was designed to transport natural gas to various delivery points in Cameron, Calcasieu, Jefferson Davis, Acadia, and Evangeline parishes. The KMLP pipeline was constructed to provide its two anchor shippers, Total Gas & Power North America and Chevron U.S.A. Inc., the means to import LNG into the United States using a south-to-north transportation path. KMLP’s proposal, referred to in this EIS as the Lake Charles Expansion Project, would provide the Magnolia LNG Project with up to approximately 1,400,000 dekatherms per day of firm capacity on its system through a new north-to-south transportation path. In order to provide service to the Magnolia LNG Project prior to operation of the LNG terminal, the Lake Charles Expansion Project would begin operation in January 2018.
Power would come from on-site and off-site sources
To provide electrical power to the LNG terminal, Entergy would build a 1.3-mile-long double-circuit 230-kV transmission line connecting its existing Graywood substation to a new switching station at the LNG terminal site.
To provide electrical power to Compressor Station 760, Cleco would build a 0.3-mile-long 34.5-kV transmission line from its existing 34.5 kV electric transmission line to the proposed compressor station. The transmission line would begin at the existing transmission line on the west side of Refinery Road and would proceed east across Refinery Road and agricultural land to the Compressor Station 760 site.
The LNG project’s refrigerant compressor would be driven by aero-derivative gas turbines. Fuel for the gas turbines would be provided by molecular sieve regeneration gas and by a small quantity of makeup feed gas. Combined heat and power technology would be employed to recover the waste heat from the gas turbines, which would be used to provide process heat and steam power for the plant, including steam power for the ammonia refrigeration system. Steam would be generated via once-through-steam generators, which would generate high-pressure steam to power a single pressure steam turbine generator, as well as supply the required quality of steam to various process heat users.
An auxiliary boiler fueled by lean flash gas produced from the boil-off gas system, feed gas, and condensate from the heavy hydrocarbon removal unit also would be used to supplement the steam production.
The total power requirement for each liquefaction train is 72.5 MW, of which 66 MW would be generated from the two 33-MW gas turbines driving the mixed refrigerant compressors. The combined heat and power system would recover the waste heat from the gas turbines to produce high-pressure steam. This steam would be used by steam turbines that would drive the ammonia refrigeration plant within each liquefaction train. The remaining 6.5 MW required for each liquefaction train would be supplied by construction of a new switching station within the LNG terminal site and the new 1.3-mile-long 230-kV transmission line between the LNG terminal and Entergy’s existing Graywood Substation.