SCT&E LNG pens fourth offtake MoU, booked capacity at 4.7 mtpa

SCT&E LNG on Tuesday informed it has signed a fourth non-binding MoU to sell 2 mtpa of liquefied natural gas to an Asian energy company, from its proposed facility on Monkey Island in Cameron Parish, Louisiana. 

The company revealed that, under the new memorandum of understanding, the Asian energy company, that owns and operates an LNG import terminal and has plans to construct additional terminals, will have the option for future equity investment in SCT&E LNG’s project.

SCT&E LNG’s chairman and CEO, Greg Michaels noted in a statement that over one-third of the project’s liquefaction capacity has been reserved through the MOU’s.

Last year, SCT&E LNG signed two offtake agreements for a total of 1.7 mtpa. The third deal came earlier this year adding another 1 mtpa to the total booked capacity. With the latest MOU, SCT&E LNG’s offtake agreements are currently totalling 4.7 mtpa of LNG.

The export project proposed for construction at Monkey Island will have a production capacity of 12 mtpa with first exports beginning in 2022.

Scott Ray, VP of engineering and technology added that SCT&E LNG is currently closing the engineering study as well as finalising negotiations with the owner’s engineer and contractors needed to support the FERC process. It is expected that a decision will be revealed soon, Ray added.

SCT&E LNG is a subsidiary of privately held Southern California Telephone & Energy (SCT&E).

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LNG World News Staff