SCT&E LNG Submits FTA Export Application to DOE

SCT&E LNG, a subsidiary of Southern California Telephone & Energy, joins an elite group of companies with plans to build a liquefaction facility for U.S. natural gas to be sold to Free Trade Agreement countries.

The company announced that they have submitted their FTA Application to the Department of Energy/Office of Fossil Energy to export liquefied natural gas  to all current and future countries with whom the U.S. has established a Free Trade Agreement. SCT&E LNG seeks to export approximately 0.54 billion cubic feet of natural gas per day, which is approximately equivalent to 4 million tons per annum (mtpa) of domestically produced LNG.

SCT&E LNG has engaged global law firm K&L Gates, LLP to provide regulatory, policy, and commercial advice for the project. Having worked on dozens of liquefaction and regasification projects around the world, K&L Gates’ worldwide LNG team has extensive experience in all aspects of LNG project development and is best positioned to assist SCT&E LNG to successfully achieve its objectives for the Cameron Parish project.

The company recently acquired approximately 246 acres of land for the project site on the east bank of the Calcasieu Ship Channel on Monkey Island, in Cameron Parish, Louisiana. The company has begun the regulatory process to build, own, and operate an export manufacturing terminal at the site which is strategically located in one of the most robust natural gas transportation networks in North America. Because of the deep-water access directly in front of the site at Monkey Island, its close proximity to the Gulf Coast, and its large river frontage, the site is excellently suited to accommodate large LNG vessels. The Calcasieu ship channel is the 11th busiest U.S. channel with approximately 1,600 vessels traveling the waterway each year.

SCT&E LNG is working with Federal and State government representatives on permits and approvals to start construction of the project. Greg Michaels, Chairman of SCT&E LNG says, “Discussions have begun with the West Cameron Parish Commission to work in collaboration for the success of the project. Produced in 2013, the Port Cameron Strategic Economic Development Plan coincides perfectly with our plan to bring high paying jobs and resources to an area of Louisiana preparing for the expansion of the incoming energy markets.” Supporters of the project expect over 1,000 construction and ancillary jobs, and over 100 permanent positions with an ongoing flow of taxes and fees to the state of Louisiana and Cameron parish.

Michaels continues, “The project site was evaluated and strategically chosen because of its significant characteristics which will help in the success of the project. One of the most important aspects of this site is that the community is comfortable with oil and gas developments and supports the project. Additional attributes of the site are that the land has minimal if any wetland issues, the ship channel in front of the property is a natural deep water channel, the property has multiple boat slip locations, large deep river frontage, and multiple interstate pipelines that converge on the area. Lastly, the site is close enough to the Gulf of Mexico that it will not face the potential congestion issues that others may face on the Calcasieu Ship Channel. We couldn’t be more pleased with the site and its location.”

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Press Release, June 5, 2014