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U.S. COAST GUARD AFFIRMS TEXAS LNG’S MARINE TRAFFIC SUITABILITY FOR PORT OF BROWNSVILLE

Houston, Texas, February 26, 2018 – Texas LNG Brownsville LLC (“Texas LNG”) is pleased to announce that the United States Coast Guard has issued a Letter of Recommendation to the Federal Energy Regulatory Commission ("FERC") confirming the suitability of the Brownsville Ship Channel for Texas LNG’s marine traffic as it relates to safety and security.

“After reviewing the information in the applicant’s [Letter of Intent] and Waterway Suitability Assessment  and completing an evaluation of the waterway in consultation with a variety of state and local port stakeholders, I recommend that the Brownsville Ship Channel be considered suitable for … accommodating the type and frequency of LNG marine traffic associated with this project,” stated U.S. Coast Guard Captain R.A. Hahn, Captain of the Port, Corpus Christi, Texas, in his letter to FERC.

In its review of Texas LNG’s Water Suitability Assessment, the Coast Guard addressed public comments that raised a number of issues, including safety, security, potential environmental impacts, economics, public outreach, and physical characteristics of the ship channel. In addition, the Coast Guard considered not only Texas LNG’s expected LNG carrier traffic but also recognized other traffic transiting through the Channel including offshore rigs, aircraft carriers, fishing vessels, recreational vessels, towing vessels, non-piloted barges, as well as potential traffic from other proposed LNG projects. The Coast Guard concluded that the waterway is suitable to handle current and anticipated incremental traffic from the Texas LNG facility.

The Texas LNG facility is being designed to accommodate LNG carriers with nominal LNG capacities up to 180,000 m3 and dimensions on the order of 977 feet (298 meters) long and 151 feet (46 meters) wide. The Brownsville Ship Channel has a current depth of 42 feet (12.8 meters), with full U.S. Congressional authorization to deepen its channel to 52 feet (15.8 meters).

The total inbound transit from the Gulf of Mexico sea buoy (pilot boarding area) to the future Texas LNG terminal berth is approximately seven miles (11 km).  This is a notable advantage over most other proposed US LNG projects in Texas, as well those in Louisiana, where transit distances can be significantly longer.

Issuance of the Coast Guard’s Letter of Recommendation marks another positive milestone in Texas LNG’s project development. Full FERC approval and Final Investment Decision (FID) for the development of the Texas LNG liquefaction project in Brownsville, Texas, are expected in 2019, and first phase production of 2 million tonnes per annum of LNG is expected to begin in 2023.  Texas LNG has secured long-term offtake term sheets from LNG buyers in China, Southeast Asia and Europe, and is planning to begin pre-FID Detailed Engineering in 2018 upon closing of its current funding round.

The U.S. Coast Guard’s Letter of Recommendation can be downloaded through the following link: http://elibrary.ferc.gov/idmws/file_list.asp?accession_num=20180226-5125 or from the Texas LNG website: http://www.txlng.com/theproject/regulatory-updates.html
 


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This image depicts Texas LNG’s planned liquefaction facilities  
Note that this image is an artist impression and is subject to updates and significant changes. This image should not be relied upon for any purpose. Image courtesy of Texas LNG Brownsville LLC.
 
About Texas LNG
Texas LNG is an independent, Houston-based LNG export company focused on high value and low risk to all stakeholders, including the local community, investors and customers. Texas LNG promotes low capital and costs, minimal pipeline expenditures, low operating costs, maximum contractual flexibility, and proven liquefaction technology in line with global LNG market expectations.

The Texas LNG export facility will be constructed in South Texas on a 625-acre site strategically located on the Port of Brownsville's deepwater ship channel near plentiful natural gas supplies and pipelines. The facility will enable the export of 4 million tonnes per annum (MTA) of LNG to established and developing markets.

The Texas LNG team comprises leading technical, commercial, financial, environmental, and legal experts including Samsung Engineering, KBR, Braemar Technical Services, Air Products and Chemicals, Honeywell, Third Point LLC, Environmental Resources Management (ERM), K&L Gates, Greenberg Traurig, Andrews Kurth Kenyon LLP, and Royston Rayzor. Samsung Engineering Co., Ltd. is a minority equity owner in Texas LNG and strategic partner (with KBR) responsible for engineering, construction, and procurement.

Additional information about the high value, low-risk Texas LNG project may be found on its website at www.txlng.com.

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Contact:
Texas LNG
Media Contact
media@txlng.com

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