Freeport LNG Granted 40-Month Extension for Delayed Train 4

Freeport LNG’s Texas export terminal was set to increase natural gas intake on Thursday following a shutdown of one of its three liquefaction trains earlier in the week, according to a company filing with state regulators and gas flow data from LSEG, as reported by Energy Now

In a notice to Texas environmental officials on Wednesday, Freeport reported an emissions event after Train 2 went offline Tuesday night due to a compressor system malfunction.

The development comes shortly after the Federal Energy Regulatory Commission on Thursday granted Freeport LNG Development LP an additional 40 months to complete its fourth liquefaction train. The extension moves the deadline to December 1, 2031, allowing the company more time to restart construction following delays caused by the June 2022 explosion that shut down the facility.

Train 4 would add 5 million tonnes per annum of LNG export capacity to Freeport’s existing three-train terminal, which currently operates at 15 mtpa. Once completed, total nameplate capacity would rise to nearly 20 mtpa. The expansion was originally approved in 2019 under Docket CP17-470. According to Natural Gas Intelligence, this marks the third time Freeport has requested an extension for the project.

The 2022 explosion was caused by overpressurized piping and resulted in a fire that shut down all liquefaction operations. Freeport remained offline for more than six months while conducting a root-cause investigation and implementing FERC- and PHMSA-mandated safety upgrades. Partial service resumed in early 2023 under revised regulatory conditions.

Freeport is the second-largest LNG export facility in the United States, accounting for roughly 15 percent of U.S. liquefaction capacity. Hart Energy reports that the company continues to evaluate financing and contractor alignment before issuing a final investment decision on Train 4.

Construction timelines remain dependent on permitting conditions, capital structure, and global LNG demand.

By Charles Kennedy for Oilprice.com

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