Eversheds Sutherland LNG Law Blog
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Commissioning at Dominion Energy Cove Point LNG Plant Begins

Dominion Energy announced yesterday that feed gas has been introduced into its newly constructed Dominion Energy Cove Point LNG, LP (DECP) liquefaction facility, which is currently undergoing commissioning in Lusby, MD. According to the press release, “Shell NA LNG is providing the natural gas needed for liquefaction during the commissioning process and will off-take the LNG that is produced. When commissioning is complete, DECP will produce LNG for ST Cove Point, which is the joint venture of Sumitomo Corporation and Tokyo Gas, and for GGULL, the U.S. affiliate of GAIL (India) LTD under...
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Tokyo Gas Signs LOI with AGDC for Alaska LNG Project

Alaska Gasline Development Corporation (AGDC) announced yesterday that it has signed a Letter of Intent (LOI) with Tokyo Gas Co., Ltd. “regarding the sale and purchase of LNG from AGDC to Tokyo Gas Co., Ltd. as well as a commitment to explore other opportunities to materialize Alaska LNG.”  The proposed Alaska LNG project consists of an 800-mile pipeline and LNG liquefaction and export facility “that will provide a direct and reliable link between the vast proven, conventional, natural gas resource on Alaska’s North Slope with the growing LNG markets in Asia.”...
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Canada Makes First LNG Export to China

Reuters reports that Fortis BC has shipped a cargo of LNG to China, making it the first LNG cargo exported from Canada to China. According to the report, the relatively small cargo of approximately 17 tonnes of LNG was produced at FortisBC’s Tilbury plant near Vancouver, British Columbia, and shipped to China via containers loaded onto ships. The article notes that shipment by container instead of on a tanker reduces the need for large export or import terminals and that “[w]hile dozens of LNG export terminals have been proposed for the West Coast of Canada, so far none have moved to...
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Polish Gas Company Signs Deal for Sabine Pass LNG Supplies

The Polish Oil and Gas Company Group announced last week that it has signed a five-year contract with Centrica LNG Company Limited for LNG supply primarily sourced from Cheniere Energy’s Sabine Pass LNG terminal in Cameron Parish, La.  The contract provides for up to 9 cargoes of LNG to be delivered over the five-year term beginning in 2018.  The LNG will be delivered to the President Lech Kaczyński LNG Terminal in Świnoujście, Poland....
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Cove Point Authorized to Export LNG Commissioning Cargoes

FERC has issued a letter order authorizing Dominion Energy Cove Point LNG, LP to export by vessels the volumes of produced LNG related to commissioning activities for the Cove Point Liquefaction Project in Lusby, Md.  The letter order does not authorize commencement of service.        
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Delfin Midstream Signs MOU with Gas Distributor China Gas Holdings

Reuters reports that Delfin Midstream, developer of a proposed floating deepwater port LNG export terminal in offshore, La., has signed “a preliminary 15-year sales deal with city gas distributor China Gas Holdings.”  The memorandum of understanding (MOU) provides for Delfin to supply 3 million tonnes a year of LNG beginning in 2021. A final investment decision for the deepwater port has not been made yet....
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Chinese and Vietnamese Companies Sign Agreements for Alaska LNG Project Development

Last week, Alaska Gasline Development Corporation (AGDC) announced that it has signed separate agreements with Chinese and Vietnamese companies regarding the development of the Alaska LNG export project. AGDC and PetroVietnam Gas (PVGAS) signed a memorandum of understanding setting forth the basic principles to collaborate on potential opportunities of AGDC LNG supply to serve LNG import projects in Vietnam, and to evaluate the possibility of upstream resource investment in Alaska. According to the press release, PVGAS, a subsidiary of state-owned PetroVietnam, “is developing LNG receiving...
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