Cheniere: Sabine Pass Train 1 starts producing LNG

Cheniere Energy said it has started producing LNG from the first liquefaction train at its Sabine Pass LNG export terminal in Louisiana.

“Train 1 has begun producing LNG, and the first LNG commissioning cargo is expected to be exported late February or March,” Cheniere said in its fourth-quarter results report on Friday.

The first commissioning cargo from the liquefaction and export facility in Cameron Parish, Louisiana was initially expected to occur by late January. The cargo was delayed due to instrumentation issues that were discovered during the final phases of plant commissioning.

Commissioning for Train 2 at the Sabine Pass plant is expected to commence in the upcoming months, according to Cheniere.

Cheniere is building liquefaction and export facilities at its existing import terminal located along the Sabine Pass River on the border between Texas and Louisiana.

The company plans to construct over time up to six liquefaction trains, which are in various stages of development. Each train is expected to have a nominal production capacity of about 4.5 mtpa of LNG.

Cheniere’s Sabine Pass liquefaction facility will be the first of its kind to export cheap and abundant U.S. shale gas to overseas markets.

Net loss widens

Cheniere reported a net loss of $291 million for the fourth quarter of 2015, compared to a net loss of $159 million for the comparable 2014 period.

For the full- year 2015, the company posted a net loss of $975 million, compared to a net loss of $548 million a year before.

LNG World News Staff