By TESS STYNES
Cheniere Energy Partners reached an 20-year deal under
which Total SA, the France-based energy major, has agreed
to purchase nearly half the volume of a fifth train planned for
Cheniere's liquefied natural-gas export facility that is being
developed in Louisiana.
The pact - along with additional indications of interest -
allows Cheniere to move ahead with the development of the fifth
train. The company's LNG-export project at its Sabine Pass operation
initially was designed and permitted for as many as four
modular LNG trains.
A sixth train also is being considered.
Cheniere Energy Partners, a limited partnership formed and
controlled by Cheniere Energy, is developing a major LNG export
plant in Louisiana, aiming to take advantage of a glut of
natural gas in the US and higher prices that the commodity can
Total's US unit is planning to purchase about 2 million tpy
of the train's annual capacity of about 4.5 million tons. The
first two trains are under construction and work on the second
two trains is expected to start next year.
Total and Cheniere previously has reached a partial accord
allowing the Cheniere facility access to services under Total's
terminal use agreement with the Sabine Pass operation, making
further expansion of LNG export capabilities
The accord begins with the date of train five's first
commercial delivery - expected as early as 2018 - and has
an extension option of as much as 10 years.
Dow Jones Newswires