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Corpus Christi, TX: Pangea Receives Permission to Export LNG

The U.S. Department of Energy has granted Pangea LNG Holdings, LLC, long-term, multi-contract authorization to export liquefied natural gas (LNG) to free trade agreement (FTA) nations from its South Texas LNG Project currently in development on Corpus Christi Bay.

Pangea LNG will be authorized to export up to 8 million metric tons per annum (mtpa) of LNG produced from domestic gas fields for a 25-year term commencing on the date of its first export. That amount is equal to 1.09 Bcf/day of natural gas.

Pangea LNG has also filed an application with DOE requesting authorization to export LNG to any country with which the U.S. does not have a free trade agreement in effect. That application, which was filed in December, is pending.

“Approval by the US DOE is a positive step forward for this project, which represents a significant investment in the development of the LNG market in the U.S.,” said John Godbold, Pangea LNG project director. “Exporting LNG will help stabilize U.S. natural gas prices, grow and sustain drilling and production jobs, and stimulate additional investment in developing the country’s gas reserves.”

DOE approval of FTA authorization is part of the regulatory process necessary to develop Pangea LNG’s new LNG export terminal on a 550-acre site. The site is located on the 45-foot deep La Quinta Ship Channel which is part of the Port of Corpus Christi, the sixth busiest U.S. seaport in terms of tonnage.

The South Texas LNG Project is subject to federal, state and local regulatory approvals with the Federal Energy Regulatory Commission (FERC) acting as the lead federal agency. Pangea will begin the FERC pre-filing process by the second quarter of 2013 and expects the project to be in operation by at least 2018.

FTA countries covered by the DOE authorization include Republic of Korea, Australia, Bahrain, Canada, Chile, Colombia, Dominican Republic, El Salvador, Guatemala, Honduras, Jordan, Mexico, Morocco, Nicaragua, Oman, Panama, Peru and Singapore.

Pangea LNG B.V. is a holding company with two major LNG export projects under development – the South Texas LNG Export Project on the Texas Gulf Coast and the Tamar Project in the Eastern Mediterranean. Pangea LNG is a developer of liquefaction projects which are designed to accelerate and support the monetization of gas reserves.

USA: Pangea Receives Permission to Export LNG LNG World News.

USA: Pangea LNG Seeking Approvals for Corpus Christi Project

Pangea LNG Holdings announced that it has begun the process of seeking approvals necessary to build a liquefied natural gas export facility on Corpus Christi Bay in South Texas.

Pangea has filed an application with the U.S. Department of Energy seeking authority to export up to eight million metric tons per year of liquefied natural gas to all current and future countries with which the U.S. has a Free Trade Agreement and intends to quickly file a similar application for LNG exports to any country with which the U.S. does not have a Free Trade Agreement in effect.

The project is located in the city of Ingleside on the La Quinta Ship Channel which is part of the Port of Corpus Christi. The project will be known as South Texas LNG Export.

South Texas LNG Export will be located on a portion of a 550-acre site which includes half a mile of frontage on the federally-maintained deepwater ship channel. Pangea has had the site under option since June. A separate pipeline project would connect the LNG plant to the extensive interstate and intrastate natural gas transmission pipeline network in South Texas.

Pangea LNG is an energy project and investment company involved in the development of LNG liquefaction and storage projects around the globe including an offshore floating LNG liquefaction project in the Eastern Mediterranean Sea.

John Godbold, project director for Pangea LNG, said an intensive project feasibility and preliminary design process is now underway on the South Texas project. The assessment is being conducted by CB&I, a leading international engineering, procurement and construction company.

The South Texas LNG Export project will require federal, state and local regulatory approval. The U.S. Federal Energy Regulatory Commission (FERC) is the lead agency in the permitting process. If this process moves forward on schedule the South Texas LNG terminal could be in operation by 2018.

Kathleen Eisbrenner, Pangea LNG’s chief executive officer, said, “We expect there to be several successful LNG export projects on the Texas Coast in the coming years because of the large new natural gas reserves in North America. Exporting LNG will help stabilize U.S. natural gas prices, sustain drilling and production jobs in South Texas, and stimulate investment in developing additional gas reserves.”

The South Texas project is the second LNG liquefaction project being developed by Pangea LNG companies. Levant LNG Marketing, a Pangea subsidiary, completed an extensive pre-FEED (preliminary front end engineering design), is finalizing commercial agreements and will start FEED engineering shortly on the Tamar Project which will export LNG from the Tamar and Dalit fields in the Eastern Mediterranean, 60 miles offshore from Israel.

That facility will be a permanently moored offshore floating natural gas liquefaction vessel with onboard LNG storage. The self-contained operation will be the first floating LNG export project in the Mediterranean basin. A final investment decision on the Tamar Project is expected by the second half of 2013.

USA: Pangea LNG Seeking Approvals for Corpus Christi Project LNG World News.

Corpus Christi, TX: Tamar Platform En Route to Israel

Tamar production platform has left the Keiwit Shipyards in Corpus Christi, Texas, USA, and is now on the way to its location offshore Israel, according to Globes, the Israeli financial newspaper.

It took 18 months for the 280 m platform to be completed, and the project has been described as “the largest infrastructure project in Israeli history.”

Noble Energy, operator of the Tamar field, did not immediately respond to an e-mail seeking comment.

The Tamar platform will be located in approximately 800 feet of water and will be able to process 1.2 billion standard cubic feet of gas per day. The Tamar field is estimated to contain 8.4 trillion cubic feet of gas and will be produced through several subsea wells connected to the platform by 150 km long flow lines. The single-lift topsides facility has four deck levels and weighs nearly 10,000 tons.

Globes further reports that the platform is expected to reach its destination during the fourth quarter this year. First production is scheduled for March 2013.

Noble Energy operates Tamar with a 36 percent working interest. Other owners are Isramco Negev 2 with 28.75 percent, Delek Drilling with 15.625 percent, Avner Oil Exploration with 15.625 percent, and Dor Gas Exploration with the remaining four percent.

Tamar Platform En Route to Israel| Offshore Energy Today.

Corpus Christi, TX: Newly Built US Flag Vessel Makes First Call to Port Corpus Christi

Eagle Ford Shale continues to positively impact Port Corpus Christi and the U.S. economy. Yesterday, Wednesday, September 26, 2012, the M/V Pennsylvania, a newly built U.S. Flag vessel destined to move products related to Eagle Ford Shale in the region, made its first port of call to Port Corpus Christi. The tanker docked at Oil Dock 1.

The M/V Pennsylvania is one of two tankers purchased by Crowley Maritime Corporation’s petroleum and chemical transportation group as part of the Jones Act, from Aker Philadelphia Shipyard ASA (Oslo: AKPS). The Pennsylvania was delivered early this month marking Crowley’s re-entry into the Jones Act tanker market after its last tanker was retired in 2011. The tankers, capable of carrying nearly 330,000 barrels of a wide variety of petroleum products and chemicals, are destined to operate in U.S. coastal trade.

“Eagle Ford Shale has made a great impact on the port’s operations. We are glad to see more U.S. Flag vessels sailing around our coasts and we are honored to welcome the M/V Pennsylvania to the port.” Said Mike Carrell, Chairman Port of Corpus Christi.

The U.S.-flagged vessel is the 13th in the Veteran Class built at Aker. This proven design provides Crowley customers with ABS-classed vessels that have been thoroughly tested and refined for performance and reliability. With a length of 183.2 m, a breadth of 32.2 m, and a depth of 18.8 m, the tankers come in at 45,800 deadweight tons with a draft of 12.2 m. Powered by the first Tier II large-bore engines, MAN-B&W 6S50MCs, the speed of the Pennsylvania and the Florida is expected to average 14.5+ knots. In addition to being double hulled with segregated ballast systems, safety features also include water and CO2 firefighting systems, as well as a foam water spray system.

Crowley has a long history of transporting petroleum products and chemicals by tanker and articulated tug barge (ATB). Until 2011, Crowley owned and operated Jones Act product tankers that safely carried petroleum products and chemicals. Crowley has also proven itself an innovator and leader in the industry through the development of an unrivaled ATB fleet, which includes some of the newest and most sophisticated ATBs in the market. As of 2013, Crowley will own and operate 17 ATBs, which include 155,000-barrel, 185,000-barrel and 330,000-barrel capacity tank vessels. Crowley has safely and reliably operated all of these Jones Act tankers and ATBs on the U.S. Gulf, East, and West coasts under voyage and time charters with leading companies in the petroleum and chemical industries.

World Maritime News – Newly Built US Flag Vessel Makes First Call to Port Corpus Christi.

Cheniere to sell Corpus Christi LNG under long-term contracts

Posted on September 19, 2012 at 7:01 am
by Bloomberg

Cheniere Energy Inc. (LNG) will sell as much as 90 percent of the output from its liquefied natural gas project in Corpus Christi, Texas, under long-term contracts.

The planned Corpus Christi site will produce 13 million to 15 million metric tons a year of LNG, Charif Souki, chief executive officer at Houston-based Cheniere, said today in an interview at a natural gas conference in Tokyo.

The company plans to follow the contracting model established at its Sabine Pass terminal in Louisiana, Souki said. Sixteen million tons of LNG from Sabine Pass, from a total output of 18 million tons, will be sold on long-term contracts of as long as 20 years, with the rest to be offered on the spot market, he said.

“Those are the volumes that we’re not sure we can produce year after year so these will remain in the spot market,” he said. The first spot cargoes from Sabine Pass will reach the market in late 2015 or early 2016, he said.

Cheniere’s Sabine Pass site is the first in the contiguous U.S. to be able to export LNG. The project is expected to cost about $5.6 billion.

Source

Corpus Christi, TX: Cheniere files permits to build terminal, export LNG

By Mike D. Smith
Posted September 4, 2012 at 11:02 p.m.

CORPUS CHRISTI — Cheniere Energy has filed for permits from the federal government to build its proposed liquefied natural gas terminal in San Patricio County.

The company’s subsidiary, Corpus Christi Liquefaction, applied this past week with the Federal Energy Regulatory Commission, or FERC, to build and operate the terminal along the La Quinta Channel near the Sherwin Alumina plant.

Liquefied natural gas, or LNG, is gas that is supercooled to liquid form for shipping. Cheniere then would export the product overseas.

The terminal — worth in excess of $10 billion — would feature storage tanks, docks and three liquefaction trains, or chilling facilities, each capable of processing millions of tons of natural gas.

Cheniere proposes processing about 1.8 billion cubic feet per day of LNG at the facility, drawn from sources including the gas-rich Eagle Ford Shale formation about 65 miles northwest of Corpus Christi.

The project includes a 23-mile pipeline that will tie in with the regional pipeline network.

Cheniere has more than 660 acres along the San Patricio County shoreline available for development, including a 52-acre piece under lease from the Port of Corpus Christi.

“After an eight month pre-filing process with the FERC, we have determined that our site at Corpus Christi meets all of the requirements of an attractive liquefaction project,” Charif Souki, chairman and CEO of Cheniere, said in a statement.

Cheniere once considered an LNG import facility at the same location. The import project received full approval from the federal government before plans were shelved because of market shifts.

That prior approval may help Cheniere with certain parts of its new export project during the approval process, company spokesman Andrew Ware said.

Company officials anticipate the terminal is on target to begin operation in late 2017.

Cheniere also applied for permission from the U.S. Department of Energy to export as much as 15 million tons per year of LNG from the site.

If approved, the department’s set of permits would allow Cheniere to export to all countries the U.S. has free trade agreements with and those it doesn’t, the company announced.

Due to an oversupply of natural gas in the U.S., low prices have made gas extraction less profitable.

Producers are flaring gas rather than selling it, which makes a case for exporting LNG to other countries, Ware said.

A condition of the Energy Department’s permission is that the company must prove there is an alternative public need for the gas the terminal will process, Ware said.

Cheniere also has applied for corresponding permits through the Texas Commission on Environmental Quality and air permits from the Environmental Protection Agency. The entire permitting process for the site is being marshaled by federal energy regulators, Ware said.

The company expects to have its regulatory approvals and financing commitments secure by early 2014, with construction beginning about that time.

Commercial agreements could be done by the third quarter of 2013.

© 2012 Corpus Christi Caller Times. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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Occidental unit to buy ex-naval station in Texas

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Posted on May 9, 2012 at 9:28 am by Associated Press

CORPUS CHRISTI, Texas — A unit of oil producer Occidental Petroleum Corp. has reached an $82 million deal to buy the South Texas site of former Naval Station Ingleside.

Port of Corpus Christi commissioners on Tuesday approved a contract with Oxy Ingleside Property Holdings for 815 acres.

The Corpus Christi Caller-Times reports Oxy has about 90 days to close the sale.

Spokesman Mark Evans says Oxy filed a permit application last week with Texas environmental regulators to build a fractionator at a nearby Oxy Chemicals unit. The new property would be used to help support the chemical plant’s natural gas operations and exports.

Houston-based Canyon Supply and Logistics earlier this year failed to make a $19 million down payment for 187 acres of the former naval facility, which closed in 2010.

Source

Port Corpus Christi Gets New Director of Engineering Services (USA)

Port Corpus Christi Gets New Director of Engineering Services

Port Corpus Christi announced yesterday the promotion of David Krams to Director of Engineering Services under the supervision of the Deputy Port Director of Engineering, Finance and Administration.

Krams’ experience at the Port and in private practice made him well qualified for the responsibilities as the new head of the Port’s Engineering Department. Krams will replace Greg W. Brubeck, who officially retires July 31, 2012 after 23 years of service to the Port. “I am looking forward to working with David during this two month transition period. David is most qualified to become the next Director of Engineering Services.” said Brubeck.

David Krams joined the port in 1994, after first working as a consulting engineer in the Corpus Christi area for ten years, specializing in underwater engineering related to marine and waterfront facilities. Prior to his promotion as Director of Engineering Services, Krams was the port’s Senior Project Engineer, who in 2009, was promoted to Manager of Channel Development responsible for the Corpus Christi Ship Channel – Channel Improvement Project, a Federal navigation planning project to widen and deepen the Corpus Christi Ship Channel from -45 feet to -52 feet and to extend the La Quinta Ship Channel. Krams also serves as the project manager for the La Quinta Multi-purpose/Container Project to be served by the La Quinta Ship Channel Improvements.

David Krams is a Registered Professional Engineer in the State of Texas. He received his Bachelor of Science in Ocean Engineering from Texas A&M University – College Station. Krams is a resident of Corpus Christi since 1972, active in the local community, serving on various local executive and regular boards and committees.

Greg W. Brubeck joined the staff of the Port in 1989 as an Engineer Planner and was subsequently promoted to Deputy Director of Engineering and later to Director of Engineering Services. A Registered Professional Engineer in the State of Texas, Brubeck received his BSME from the United States Naval academy in 1969 and MSCE from Texas A&M University in 1980. A retired Commander, Mr. Brubeck proudly served twenty years in the United States Navy as both a Naval Aviator and Civil Engineer Corps Officer.

Mr. Brubeck has been a resident of Corpus Christi since 1986. In addition to several work related professional organizations, Mr. Brubeck is active in the local community and is a graduate of Leadership Corpus Christi Class XX, a Past President of the Kiwanis Club of Corpus Christi, a Past President of the Coastal Bend Post of the Society of American Military Engineers, and Past Board Member of the Navy–Army Federal Credit Union. Mr. Brubeck was born in Indiana and was raised in several States and in the Far East and Europe in the family of a career United States Army Corps of Engineers officer prior to becoming a Texan.

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