USA: EPC Project Energy Transfer, Shell Invite Tenders for Lake Charles LNG Project
Energy Transfer and Shell have called for tenders involving an EPC contract for the LNG project. With this move, the companies aim at converting Energy Transfer’s existing LNG import facility in Lake Charles, Louisiana to a proposed large-scale LNG export project.
Texas/USA – The Lake Charles LNG project, led by Energy Transfer and Shell US LNG (Shell), has issued an Invitation to Tender (ITT) to U.S. and international consortia. This includes bidding for the Engineering, Procurement and Construction (EPC) contract in order to convert Energy Transfer’s existing Liquefied Natural Gas (LNG) import facility in Lake Charles, Louisiana to a proposed large-scale LNG export project.
The ITT follows the signing of the Project Framework Agreement between Shell and Energy Transfer in March, outlining the commercial terms and pathway to progress development of a proposed 16.45 million tonnes per annum (mtpa) LNG export project in Lake Charles toward a potential final investment decision (FID).
“We are excited to announce this major milestone in the development of the Lake Charles LNG liquefaction project,” said Tom Mason, President, Lake Charles LNG. “The prospective bidders are world-class EPC contractors who will bring extensive LNG experience to bear as they develop their bids.”
“The invitation to tender is another step in our journey to progress a competitive and safe LNG project on the U.S. Gulf Coast,” said Frederic Phipps, Vice President of the Lake Charles LNG project. “Already, leading EPC provides have expressed interest in participating in Lake Charles LNG, a project that will contribute to growing U.S. LNG exports should a FID be taken.”
The Lake Charles project is a 50/50 venture between Energy Transfer and Shell. The project, if sanctioned through an affirmative FID, would convert Energy Transfer’s existing Lake Charles LNG import and regasification terminal to an LNG export facility with a liquefaction capacity of 16.45 mtpa to export U.S. natural gas to global customers. The project is fully permitted, uses existing infrastructure and benefits from abundant natural gas supply and proximity to major pipeline infrastructure, including Energy Transfer’s vast pipeline network.