Liquefaction Project

ELC and SLNG are constructing natural gas processing and liquefaction facilities capable of receiving and liquefying domestic natural gas at the Elba Terminal. The facilities associated with the Elba Liquefaction Project will be situated at the Elba Terminal on an 840-acre island known as Elba Island. The current Elba Terminal is an import facility capable of importing and regasifying foreign-sourced LNG. The Elba Liquefaction Project will be constructed in two phases: (1) Phase I will include installation of 6 liquefaction units equal to an output capacity of 210 MMcf per day and modifications to the existing Elba Terminal to allow for export and (2) Phase II will include installation of up to 4 liquefaction units equal to an output capacity of 140 MMcf per day. The Elba Liquefaction Project will use Shell’s innovative small-scale liquefaction units, which will be integrated into the existing Elba Terminal and enable rapid construction compared to traditional large-scale plants.

On June 1, 2016, the FERC granted the project authorizations under Sections 3 and 7 of the Natural Gas Act (see press releases).

Construction began on Nov. 1, 2016 on the approximately $2 billion project.

Initial liquefaction units are expected to be placed in service in mid-2018, with final units coming on line by early 2019.

In June 2012, SLNG received approval from the U.S. Department of Energy (DOE) to export up to 500,000 Mcf per day of LNG to Free Trade Agreement (FTA) countries. In August 2012, SLNG submitted a filing to the DOE seeking approval to export up to 500,000 Mcf per day of LNG to non-FTA countries. Phase I of the Elba Liquefaction Project required no additional DOE approval. Non-FTA Authority was approved on Dec. 16, 2016.