Name of the Project
Magnolia liquefied natural gas (LNG) project.

Location
Louisiana, US.

Project Owner/s
Magnolia LNG, a wholly owned subsidiary of Liquefied Natural Gas Limited (LNGL).

Stonepeak Partners is earning an estimated 50% stake in the project for contributing the full $660-million project equity requirement.

Project Description
The project involves the development of a midscale LNG facility of up to eight-million tons a year in the Port of Lake Charles, Louisiana, using LNGL’s optimised single mixed refrigerant technology.

The development will comprise four liquefaction trains, each capable of producing up to two-million tons a year of LNG.

Feed gas for the project will be sourced from the highly liquid US gas market.

Gas will be delivered to the site through the Kinder Morgan Louisiana pipeline that traverses the 44 ha site.

Capital Expenditure
The indicative capital estimate for the project is $3.5-billion.

Planned Start/End Date
First LNG exports are planned for the second half of 2018.

Latest Developments
The Federal Energy Regulatory Commission (FERC) has prepared a draft supplemental environmental-impact statement (EIS) for the Magnolia LNG production capacity amendment proposed by Magnolia LNG.

Magnolia LNG has requested authorisation to increase the LNG production capacity of the previously authorised Magnolia LNG from eight-million metric tonnes a year to 8.8-million tonnes a year. The increased production capacity would be achieved through the optimisation of Magnolia LNG’s final design, including additional and modified process equipment. All new or reconfigured facilities would be within the footprint of the authorised Magnolia LNG terminal site.

With the incorporation of the mitigation measures identified in the supplemental EIS, the FERC has concluded that the LNG terminal design will include acceptable layers of protection or safeguards that will reduce the risk of potentially hazardous scenarios from developing into an event that could impact the off-site public.

Further, the FERC has concluded that the modifications associated with the production capacity amendment, with the additional mitigation measures recommended in the supplemental EIS, will continue to avoid or reduce impacts to less than significant levels.

Key Contracts and Suppliers
KBR-SK joint venture (overseeing engineering, procurement and construction contractor) and CH•IV (engineering, procurement and construction contractor).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Magnolia LNG, tel +1 337 656-9200 or email info@MagnoliaLNG.com.
LNGL, tel + 61 8 9366 3700, fax + 61 8 9366 3799 or email LNG@LNGlimited.com.au.
KBR director, communications Richard Goins, tel + 1 713 751 9471 or email mediarelations@kbr.com.