Crowley Fuels, a unit of the Jacksonville-based maritime solutions provider Crowley, has signed another multi-year supply contract with Pivotal LNG, part of Southern Company Gas.
The contract, executed through Crowley subsidiary Carib Energy, calls for Crowley to transport liquefied natural gas from Pivotal facilities on the mainland to a major pharmaceutical company in Puerto Rico, the duo said in a joint statement.
LNG is loaded into Crowley’s 10,000-gallon international shipping organization (ISO) containers at one of Pivotal’s LNG supply sources in the southeastern U.S. These ISO containers are then transported via truck and loaded onto Crowley vessels in Jacksonville, Fla.
Crowley then provides ocean transportation and delivers the LNG to various customers in Puerto Rico.
Crowley’s Carib Energy was the first company to receive a small-scale, 25-year, LNG export license from the U.S. Department of Energy for LNG transportation from the U.S. into free trade agreement countries. To date, Crowley says it has transported more than 6.1 million gallons of LNG.
The new deal expands the delivery of LNG to companies in Puerto Rico since the two companies joined forces to form a virtual LNG pipeline.
In the future, Pivotal also expects to source LNG volumes from the JAX LNG plant that is being jointly developed with Pivotal’s partner, Northstar Midstream, in Jacksonville.
JAX LNG will be North America’s first coastal LNG facility with marine and truck loading capabilities. The JAX LNG facility is expected to go into operation in 2018.