Venture Global LNG has agreed to sell 4 million tonnes per annum of liquefied natural gas to China’s Sinopec through two long-term deals for its proposed, but delayed, Plaquemines project in Louisiana in the US.

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Plaquemines LNG Project Overview
  • A 632-acre plot with 1.3 miles of deep-water frontage
  • Up to thirty-six 626,000 tpa liquefaction trains, configured in eighteen blocks
  • Up to six pre-treatment trains
  • Up to three ship loading berths for LNG vessels of up to 185,000-cubic metre capacity
  • Up to four 200,000-cubic metre full containment LNG storage tanks
  • Two 720-megawatt combined cycle gas turbine power plants
  • A utility dock on the Mississippi River to handle waterborne deliveries
  • Two 42-inch diameter pipelines that connect to existing interstate natural gas pipelines

Venture Global’s 2.8 million and 1.2 million tpa 20-year free on board (FOB) contracts with Sinopec were revealed in a 1 October letter it had filed with the US Department of Energy, that was made public on Tuesday.

No financial details were disclosed in the letter that noted the contracts were signed on 1 September.

The Plaquemines LNG project with capacity of up to 20 million tpa will be developed in two phases.

Venture Global, which is currently constructing the 10 million tpa Calcasieu Pass facility, also in Louisiana, has yet to take the final investment decision on Plaquemines.

According to the operator’s website, it now envisages the financial close of Plaquemines LNG in the fourth quarter.

Sinopec’s volumes would come from phase one of this project with its LNG deliveries commencing from start-up.

Only last week, Cheniere Energy announced it had signed a 13-year agreement to supply a subsidiary of China’s ENN with LNG volumes on an FOB basis being delivered from next July.

This LNG will likely be sourced from Train 6 at Cheniere’s Sabine Pass project.