Infrastructure
Freeport LNG To Shut For At least 3 Weeks After Fire Explosion At Texas Facility, Likely To Strain Global Gas Supply
India Infrahub
Jun 09, 2022, 07:13 PM | Updated Jun 13, 2022, 03:05 PM IST
Save & read from anywhere!
Bookmark stories for easy access on any device or the Swarajya app.
Freeport LNG, one of the largest U.S. export plants producing liquefied natural gas (LNG), will shut for at least three weeks following an explosion at its Texas Gulf Coast facility.
The fire began just before noon local time on Wednesday (Jun 8) at the Freeport LNG facility on Quintana Island, the Houston-based, privately-owned company said.
"There were no injuries, all employees have been accounted for and there is no risk to the surrounding community. The incident investigation will continue," it added.
The facility operates three LNG trains capable of producing approximately 15 million tonnes per year (mtpa) of LNG. The majority of LNG produced is contracted under 20-year tolling agreements with customers in Japan. The terminal is the largest fully electric motor drive natural gas liquefaction plant in the world, which can reduce emissions by over 90% compared to plants using combustion turbines.
European natural gas futures contracts linked to TTF, Europe’s wholesale gas price, surged by over 12% following fears over the disruption over the accident.
The US, the world’s biggest natural gas producer, is trying to lure European nations away from dependence on Russian Gas. LNG exports hit a record 9.7 bcfd last year, according to the U.S. Energy Information Administration (EIA).
Save & read from anywhere!
Bookmark stories for easy access on any device or the Swarajya app.
Introducing ElectionsHQ + 50 Ground Reports Project
The 2024 elections might seem easy to guess, but there are some important questions that shouldn't be missed.
Do freebies still sway voters? Do people prioritise infrastructure when voting? How will Punjab vote?
The answers to these questions provide great insights into where we, as a country, are headed in the years to come.
Swarajya is starting a project with an aim to do 50 solid ground stories and a smart commentary service on WhatsApp, a one-of-a-kind. We'd love your support during this election season.
Click below to contribute.