Elba Asks Ferc To Allow Unit #7 In Service
Elba Liquefaction Co on August 20 asked the US Federal Energy Regulatory Commission (Ferc) for approval to place Unit #7 of the movable modular liquefaction system (MMLS) at its Elba Liquefaction Project in Georgia in service on August 27.
Despite its name, Unit #7 will be the last of ten units to be placed in service at the liquefaction project. The regulator approved placing Unit #10 in service on August 10, and Elba Liquefaction advised the commission that it had done so on August 19.
Each MMLS unit at Elba Liquefaction – a brownfield development adjacent to an existing import and regasification terminal on Elba Island near Savannah owned by Kinder Morgan’s Southern LNG Co – processes 35mn ft3/day of natural gas. The entire 2.5mn mt/yr of LNG produced at the facility has been contracted to Anglo-Dutch major Shell – which owns the MMLS technology – under a 20-year sales and purchase agreement.
The Elba Liquefaction Project was first advanced in 2013 by Shell (with a 49% equity interest) and its joint venture partner Kinder Morgan, which held 51%. Kinder Morgan acquired Shell’s interest in the project in July 2015 for $630mn and in February 2017 sold it to investment funds managed by EIG Global Energy Partners for $385mn.