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Trump says US LNG export capacity will double in 2019

Wed 15 May 2019 by John Snyder

Trump says US LNG export capacity will double in 2019
Mr Trump said US LNG export capacity will double by the end of the year

President Trump toured Sempra Energy’s Cameron LNG export facility in Hackberry, Louisiana, highlighting the importance of US energy independence and LNG in creating jobs.

The visit by the President coincided with rising US-China trade tensions that have resulted in China raising tariffs to 25% on LNG imported from the US. The move by China is in retaliation to the US imposing tariffs on US$200Bn worth of Chinese goods.

China has become an increasingly important market for US LNG. Last year, it was the fourth-largest LNG export market for US LNG behind Japan, South Korea and Mexico, according to the US Energy Information Administration (EIA).

On social media, the President wrote, “With incredible grit, skill, and pride, the 7,000 workers here at Sempra Energy are helping lead the American energy revolution.” Calling the US an “energy superpower,” the President said US LNG export capacity more than doubled by the end of the year.

The EIA projects that US LNG export capacity will reach 8.9Bn ft3 per day (Bcf/d) by the end of 2019, making it the third-largest in the world behind Australia and Qatar. 

The Cameron LNG facility is part of that capacity increase, producing its first LNG from train 1, a prelude to shipping its first export cargo in Q2 2019.

"Reaching this important milestone of first LNG production is truly a credit to the team at Cameron LNG and the work they have done to reach this point," said Sempra LNG chief operating officer Lisa Glatch.

When it comes online fully, Cameron LNG will add significant LNG export capacity. The project includes three liquefaction trains with a projected export capacity of more than 12 mta of LNG.

"When a facility starts producing a product, it is always a significant accomplishment, especially for such a large-scale project like Cameron LNG," said McDermott senior vice president for North, Central and South America Mark Coscio. "Once train 1 is at full production and we have completed trains 2 and 3, this facility will be one of the largest producers and exporters of LNG to markets around the world."

Since the initial award in 2014, McDermott and Japan’s Chiyoda, its joint venture partner on the project, have provided the engineering, procurement and construction for the Cameron LNG project.

Cameron LNG is jointly owned by affiliates of Sempra LNG, LLC, Total, Mitsui & Co and Japan LNG Investment, LLC, a company jointly owned by Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha.

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