Greetings from the Center for Liquefied Natural Gas (CLNG)

Hello,

Welcome to the Spring 2011 edition of the LNG Industry Insider, a quarterly media newsletter brought to you by the Center for Liquefied Natural Gas (CLNG). In this ever-evolving energy climate, we hope this newsletter will serve as a valuable resource for the media to stay informed about the trends, pivotal developments, and milestones of the LNG industry.

In this issue we'll learn more about the start of commercial operations at Golden Pass LNG, an energy prize competition for students and entrepreneurs seeking solutions in energy efficiency and climate change, community volunteers working together to restore the Chesapeake Bay's ecosystem in the wake of a storm, and more.

For more information about this newsletter or LNG, please visit www.lngfacts.org or call us at (202) 289-2253.

Sincerely,
Bill Cooper
President, Center for Liquefied Natural Gas

An LNG vessel prepares to offload its cargo at the Golden Pass LNG terminal in May 2011. (Photo courtesy of Golden Pass LNG.)

LNG Project Development Update

FERC Authorizes Service at Golden Pass LNG

Following completion of Phase 1 and Phase 2 commissioning, Golden Pass LNG announced on May 10 that the Federal Energy Regulatory Commission granted Golden Pass LNG authority to begin commercial operations. Located outside Sabine Pass, Texas, the new facility will receive LNG and has the ability to transport natural gas throughout the Gulf Coast, Midwest, and Northeastern United States.

Golden Pass LNG completed commissioning activities for Phase 1 in early March and Phase 2 in late April. Combined operations from both phases will allow for a nominal sendout capacity of over 2 billion cubic feet per day through Golden Pass Pipeline's 69-mile interstate pipeline. The pipeline will deliver natural gas to downstream markets. The Golden Pass LNG terminal has an LNG import capacity of 15.6 million metric tons per year.

Local leaders and personnel participate in the ribbon cutting ceremony for Enviro Express' joint LNG-CNG refueling station in Bridgeport, Conn. in December 2010. (Photo courtesy of GDF SUEZ.)

Distrigas Provides LNG as Vehicle Fuel to Northeast Corridor

For the first time in its history, Distrigas' Everett Marine Terminal is selling liquefied natural gas as vehicle fuel. The GDF SUEZ subsidiary will provide LNG to the Enviro Express Natural Gas, LLC refueling station in Bridgeport, Conn.

Enviro Express is the first LNG refueling station east of the Mississippi River. The station opened in December 2010 and provides LNG and compressed natural gas refueling capabilities along the busy Interstate 95 corridor.

The LNG portion of the facility currently services Enviro Express' fleet of 18 Kenworth T800 semi tractor-trailers, which mostly haul ash between Bridgeport and Putnam, Conn. Both the LNG and CNG portions of the station are public-access. [MORE]

Offshore Floating Liquefied Gas Terminals (FLGT) design concept. (Illustration courtesy of DSME.)

Technology Advancements Move Floating LNG Terminals Closer to Reality

(Houston, TX) -- ABS, a leading international classification society for marine-related facilities, is in the advanced stages of design review for a number of Floating LNG (FLNG) terminal concepts.

According to Vice President of Global Gas William J. Sember, floating solutions for the import and export of LNG were still considered new and novel concepts as recently as five years ago. But that has changed with major projects now in progress including Shell's Prelude field in the Browse Basin off Western Australia, which gained environmental approval in late 2010 and has a target production start date of 2016. Several other FLNG projects in progress are located offshore Papua New Guinea and offshore Indonesia. "With more than one-third of global gas reserves stranded by their location or field size without commercially viable access to world markets, the attractiveness of FLNG cannot be denied," said Sember. [MORE]

(Illustration courtesy of ConocoPhillips.)

2011 ConocoPhillips Energy Prize Competition Underway

ConocoPhillips and Penn State University have teamed up for the fourth year in a row to challenge students and entrepreneurs to develop innovative and actionable solutions for helping improve the way energy is used and developed in the United States.

The competition for the 2011 ConocoPhillips Energy Prize is now underway with all registrations received by May 2, 2011. The competition recognizes innovative ideas and solutions in three subject areas including developing new energy sources, improving energy efficiency, and combating climate change. Up to five finalists will receive awards of up to $300,000. [MORE]

Dominion and community volunteers plant grasses to restore dunes in Calvert County, Md. in February 2011. (Photo courtesy of Dominion.)

Dominion, Maryland Organizations, and Schools Join Forces to Restore Coastal Dunes

In 2006, a coastal storm battered Calvert County, Maryland, producing a breach that threatened the Chesapeake Bay's largest freshwater marsh. Brine water permeated the breach, endangering the wildlife of the 190-acre Cove Point marsh, near Dominion Cove Point's liquefied natural gas facility. Volunteers from Maryland community groups, including the National Aquarium in Baltimore and students from three area schools, worked with Dominion volunteers to rebuild the beach.

Using dredge material from a recent Dominion Cove Point pier expansion project, the company built a separate saltwater marsh to protect the susceptible area. The installation utilized 33,000 tons of rock to build a 2,600-foot shoreline embankment, supplemented with over 10,000 tons of sand. [MORE]

LNG "Cool" Fact

Did You Know?

LNG is not new to the United States. The commercial shipment of LNG began more than 50 years ago, but natural gas was stored as LNG for the first time commercially in West Virginia in 1912.