Project description

Originally named Hackberry LNG, Cameron LNG was purchased by Sempra Energy from Dynegy in April 2003. In September 2003, the Federal Energy Regulatory Commission (FERC) issued a permit, and subsequently in April, 2004, authorized the construction of Cameron LNG, one of the first new liquefied natural gas receipt terminals in North America in more than 20 years.

In December 2004, a permit modification to enhance the marine facilities was submitted to FERC and conditionally approved in April of 2005. The FERC granted its authority to construct in August 2005. The principal marine facility upgrades include:

• Widening and enlarging the LNG ship unloading slip.
• Adding a 1,700-foot-diameter turning basin integrated into the slip with a depth of 45 feet.
• Moving the eastern edge of the slip (and berthed LNG ship) an additional 90 feet away from the edge of the channel for a total offset of 250 feet.
• Expanding the berthing capability to accommodate LNG carriers up to 200,000 m³.

The Cameron LNG receipt terminal and associated facilities will be built in Cameron, Louisiana, which is located approximately 148 miles east of Houston, Texas, and 230 miles west of New Orleans, Louisiana. The $750 million project will have the capacity to regasify up to 1.5 billion cubic feet (Bcf) of natural gas per day, and the site can accommodate expansion up to 2.65 Bcf per day. The terminal is scheduled to begin commercial operations in late 2008. The receipt facility is only 36 miles from a major pipeline junction that provides access to 65 percent of U.S. gas markets.

On Aug. 1, 2005, Sempra LNG signed a 20-year Capacity Agreement with ENI S.p.A. for a TSA for 40% of the capacity of the Cameron LNG receipt terminal (approximately 600 MMcfd).

The Engineering, Construction and Procurement contract was signed in December 2004 with the joint venture Aker Kvaerner / IHI. A Notice To Proceed with construction was granted in August 2005.

Construction at the Cameron LNG terminal site began in August 2005 and continues to progress on schedule and is nearly 76.2 percent complete.

The FERC application was submitted in December 2005, requesting approval to expand to 2.65 Bcf/d send out capacity. FERC approval was granted January 2007.

In addition to the terminal, Sempra Pipelines & Storage will also be constructing a 36-mile pipeline to transport natural gas from the facility to connect with existing interstate pipelines to the north. Other benefits include stimulating the local economy, increasing the tax base for the Cameron, Beauregard and Calcasieu parishes, and having a Fortune 500 company in the community that has demonstrated itself to be a good corporate neighbor.