Gulfstream LNG Development, LLC announced its key technical partners for the development of its mid-sized greenfield onshore LNG export project.
Subject to comprehensive commercial and legal agreements to be executed prior to construction, Baker Hughes has been selected as the liquefaction equipment provider, Honeywell UOP will provide its gas treatment technology, and Kiewit Energy Group Inc. will provide engineering, procurement, and construction (EPC) support. All three of these companies have extensive LNG experience, proven and robust proprietary technologies and processes, and have been actively involved in LNG projects along the US Gulf Coast.
The selection of these three global partners reduces technical uncertainty and highlights industry confidence in the Gulfstream LNG project. The evaluation and execution of preliminary agreements with these leading companies are a result of concept design and preliminary engineering work internally completed by the experienced Gulfstream LNG development team.
“The selection of Baker Hughes, Honeywell UOP, and Kiewit is a major milestone in the development journey of Gulfstream LNG,” remarked Vivek Chandra, CEO and Founder of Gulfstream LNG, “with the support of these partners, we will be able to provide project-specific information and data required for the FERC process and FEED engineering.”
Over the past few months, Gulfstream LNG has received its U.S. Department of Energy export permit for Free Trade Area nations, executed a feed gas transportation agreement with a regional gas pipeline network company, finalized Gulfstream LNG’s site lease agreement, and expanded its internal and external teams.
Gulfstream LNG’s 500-acre site, which includes over 0.8 miles of deepwater Mississippi River frontage (50 feet), is located south of New Orleans. The site’s deepwater access does not require dredging and provides access to multiple feed gas pipeline networks and a robust electrical grid. The project is significantly de-risked due to these factors as well as the presence of an available skilled workforce, river and highway infrastructure, and an improved flood control levee system. The leased site may be one of the last remaining permittable sites on the US Gulf Coast.
Gulfstream LNG’s globally experienced LNG team is designing the facility based on other successfully deployed and operating liquefaction projects. By leveraging electrical liquefaction drives, Gulfstream LNG aims to be among the greenest and lowest carbon emitting LNG producing facilities globally. The Gulfstream LNG team is focused on speed to production, customer flexibility, efficient use of capital, good corporate governance, safety of operations, and enabling energy transition by providing affordable LNG to markets currently dependent on higher carbon fuels.
Baker Hughes will provide its state-of-the-art liquefaction trains, leveraging its 30+ years of experience in the LNG space.
Honeywell has been chosen by Gulfstream LNG as a service provider to pretreat input natural gas for the facility. These services are expected to include engineering, procurement, and fabrication. Honeywell units installed in the facility will include a mercury removal, acid gas removal and SeparSIV Units. Most US LNG projects, both currently operating and under construction, utilize Honeywell UOP technology for their feed gas pretreatment. Honeywell UOP solutions for contaminant removal and hydrocarbon management are used in the projection of approximately 40 percent of the world's LNG.
Kiewit will provide technical and project management assistance during the FEED and permitting process. Kiewit will support the Gulfstream LNG project team by assisting in the selection and optimization of equipment and solutions. Gulfstream LNG will work with Kiewit to develop the appropriate EPC model, incorporating variables such as materials and labor costs, supply chain constraints, and construction schedules. Kiewit has executed more than 30 LNG projects in the past 15 years.
Gulfstream LNG will request the Federal Energy Regulatory Commission (FERC) to begin the pre-filing process after completing the current initial equity funding process. Gulfstream LNG expects to be one of the few greenfield projects proposed to FERC in the past four years. First production, anticipated in less than six years, will align with the projected shortage in global LNG supply which has been exacerbated by recent geopolitical events. All commercial business models, including tolling by offtake customers and upstream gas producers, as well as FOB sales, will be evaluated. In contrast to other similar facilities on the Gulf Coast, Gulfstream LNG plans to serve domestic, regional, and international LNG markets via river barges, small ships, bunkering vessels, and large tanker exports.