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French-based engineering player Technip Energies has received clearance to move forward with efforts to breathe life into a liquefied natural gas (LNG) export project under development in Louisiana, United States.
Technip Energies previously secured an award from Commonwealth LNG , being developed by Caturus , a firm controlled by the energy-focused alternative investment manager Kimmeridge , regarding the issuance of purchase orders for key equipment needed for a 9.5 million tons per annum (mtpa) LNG facility in Cameron Parish, Louisiana.
Afterward, the French player placed orders with industry giants, including Baker Hughes for six mixed-refrigerant compressors driven by LM9000 gas turbines; Honeywell for the supply of six main cryogenic heat exchangers; and Solar Turbines for the provision of four Titan 350 gas turbine-generators.
Technip Energies has now received a substantial authorization, representing between €500 million and €1 billion of revenue, from Commonwealth LNG to continue advancing the LNG export facility, which is interpreted to mark an important step forward in the project’s progress and path toward final investment decision (FID).
This was issued under the previously signed engineering, procurement, and construction (EPC) contract. The award enables the French firm to sustain critical activities and maintain strong project momentum ahead of the FID, building on the previously announced authorization for key long-lead equipment purchase orders.
Arnaud Pieton , CEO of Technip Energies, commented: “We are pleased to continue advancing our work on the Commonwealth LNG project, preparing the project for a successful and timely final investment decision.
“This new authorization represents a material step forward for the Commonwealth LNG project. It reflects the confidence in the project’s fundamentals, execution strategy, and its long-term relevance for the global energy security.”
The project encompasses the delivery of six identical liquefaction trains, utilizing Technip Energies’ SnapLNG by T.EN modular and scalable solution. Commonwealth’s Phase 1 development is a $12.5 billion project, which is expected to generate an estimated $3.5 billion in annual export revenue.
Multiple companies have entered into long-term sale and purchase agreements (SPAs) for offtake from the facility, including EQT LNG Trading , Glencore , Mercuria Energy Trading , Petronas LNG , and Aramco Trading Americas .