Freeport LNG nears end of expansion that will increase output
U.S. liquefied natural gas (LNG) developer Freeport LNG expects to increase production beyond its 15.3-metric MMtpy capacity as it wraps up an expansion project.
Freeport LNG operates the second-largest U.S. processing plant and its ups and downs have led to gas-price swings in the U.S. and Europe.
"We have safely completed the vast majority of the work related to our debottlenecking project and are working to implement the benefits of those efforts," a Freeport spokesperson told Reuters on Friday.
Storage tanks and gas-chilling units are seen at Freeport LNG, the second largest exporter of U.S. liquified natural gas, near Freeport, Texas.
The spokesperson did not say what the capacity would be when the debottlenecking is complete. In the past, Freeport's Chairman and CEO Michael Smith said the debottlenecking will increase Freeport's export capacity to 16.5 MMtpy.
Feedgas flows to Freeport on Friday were on track to reach a record 2.3 Bft3d, up from 2.1 Bft3d on Thursday and an average of 1.9 Bft3d over the prior seven days, LSEG data showed.
Prior to its debottlenecking Freeport pulled at peak close to 2.2 Bft3d, according to LSEG data.
On July 7, Freeport shut its plant in anticipation of the passage of Hurricane Beryl. The plant remained down for eight days and then resumed operations on a phased basis after suffering damage to its fin fan air coolers due to the storm.
The company said that all three of its LNG liquefaction trains have now been safely restarted and it is in the process of returning to normal production rates.
The U.S. last month exported 6.69 metric MMt of LNG, compared to 7.11 MMt in June and 7.60 MMt in May, preliminary data from LSEG showed.
July's 6.69 MMt marked the second lowest monthly volume for the year, above only April's 6.19 MMt, which reflected mechanical problems at Freeport LNG.
Freeport's reign as the U.S. second largest LNG facility could end later this year as Venture Global's 20-MMtpy Plaquemines export facility in Louisiana is expected to begin operations.
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