Cameron LNG terminal restart delayed due to utility plant trip
Sempra Energy’s Cameron LNG export terminal in Louisiana was supposed to be restarted on Tuesday but was prevented after a utility plant trip knocked them offline the night before.
According to an article by S&P Global Platts, the Cameron LNG terminal was supposed to be restarted its three trains on 15 December.
Sempra Energy spokeswoman Anya McInnis told S&P Global Platts that the overnight trip resulted in the controlled shutdown of the trains. The cause was unclear. She added that the issue was now resolved and that the operations team was in the process of restarting the trains.
The disruption comes as utilization at the six major U.S. liquefaction facilities remains near record highs, amid strong prices in key end-user markets, especially in Asia.
The S&P Global Platts JKM for January was assessed 20.9 cents/MMBtu higher day on day at $12.404/MMBtu on 15 December.
Amid supply concerns and robust demand, the benchmark for spot LNG delivered to Northeast Asia has jumped almost sevenfold from JKM’s historic low on 28 April at $1.825/MMBtu.
To remind, Cameron LNG was shut down for more than a month over the late summer and early fall, largely due to hurricane damage to power infrastructure operated by Entergy that the terminal south of Lake Charles relies on to run its trains.
Cheniere Energy’s Sabine Pass terminal, in a different part of Cameron Parish, was also shut down due to the same reason. Sabine Pass produces its power at its site. In early October, Cameron LNG facility was still offline while Sabine Pass exports were resumed.
S&P Global Platts quoted multiple market sources which claim that the latest disruption at Cameron LNG would have minimal impact on production.
Platts Analytics feedgas nomination data from early 15 December remained normal for Cameron LNG, at around 2.1 Bcf or similar to the average for the rest of the week. Total U.S. LNG feedgas nominations fell to 10.7 Bcf/d on 15 December, below the 11.4 Bcf/d average set over the previous seven days.