Texas-based Excelerate Energy will no longer pursue the proposed floating liquefied natural gas terminal at Lavaca Bay.
The company sent a letter to the United States Federal Energy Regulatory Comission notifying the regulator that, after internal evaluation of the economic value of the project, Excelerate will withdraw its applications.
The company submitted its application seeking authorization to site, construct and operate a floating LNG terminal in February, 2014, but following global market conditions Excelerate first put the project on hold in December last year, and according to the recent filing now it will withdraw all applications and it has requested that FERC terminates related proceedings.
The project, designed with the potential production capacity of up to 10 mtpa no longer meets the financial criteria necessary in order for the company to move forward with the capital investment.
Excelerate informed that it will also withdraw an application by its affiliate company to export up to 10 million metric tons per year for a 20-year term to countries with which the United States does not have a Free Trade Agreement.
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LNG World News Staff; Image: Lavaca Bay LNG