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Sabine Pass LNG

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On April 16, 2012, the Federal Energy Regulatory Commission granted approval for Houston-based Cheniere Energy to build the first liquefied natural gas (LNG) export terminal in the lower 48 United States. The $5 billion Sabine Pass LNG project is located at an existing import terminal in Cameron Parish, Louisiana, along the Gulf Coast.

This facility is estimated to generate between 0.26 metric tons of carbon dioxide equivalent (CO2e) for every metric ton of LNG produced according to a 2013 report.[1]

In February 2016 Sabine Pass made its first LNG shipment.[2] It was the first LNG shipment from the lower 48 states.[3] It rode on an Asian Vision tanker with the capacity to transport 3.39 billion cubic feet of LNG.[4] The purchaser of the LNG is Brazil's state owned company, Petroleo Brasileiro. It will convert to gaseous form at a facility in Brazil.

Gail India Ltd. bought the second shipment of LNG from Cheniere Energy Inc.’s Sabine Pass that makes the facility the first Asian importer of U.S. shale gas. The shipment left Louisiana on March 15, 2016.[5]

Gail India has agreed to buy 3.5 million metric tons of LNG a year over the next two decades from Sabine Pass.[6]

In February 2017, Bloomberg reported Cheniere had entered into a supply deal that would see gas from the Montery Shale, including drilled from British Columbia and Alberta, shipped from the facility.[7]

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Background

Cheniere has Energy Department license to ship domestic gas to nations that are not U.S. free-trade partners. U.S. gas producers will have the capacity to export up to 18 million tons of LNG annually, worth about $1.7 billion at current prices.[8] [9]

It was FERC’s first authorization of a project of this kind, FERC said in an accompanying statement: “Today’s order finds that the project can be constructed and operated safely and with minimal environmental impacts."[8]

In its Sabine Pass order, FERC settled on the DOE's earlier findings that increased LNG exports "will result in increased production that could be used for domestic requirements if market conditions warrant such use, and this will tend to enhance U.S. domestic energy security." FERC also dismissed charges by the Sierra Club and the Gulf Coast Environmental Labor Coalition that the commission shortchanged its environmental and safety reviews, citing conditions that Cheniere comply with the federal Clean Air Act, including rules governing greenhouse gas emissions and the use of "best available" pollution control technology.


Project Details

  • Owner: Sabine Pass Liquefaction, LLC
  • Parent: Cheniere Energy LNG
  • Location: Cameron Parish, Louisiana, United States
  • Coordinates: 29.7438551,-93.8770901
  • Capacity: 27 mpta
  • Status: In operation
  • Type: Export
  • Start Year: 2016

Note: mtpa = million tonnes per year; bcfd = billion cubic feet per day

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