The US Venture Global LNG has received approval to commercialize the Calcasieu LNG plant in Louisiana after facing some legal and regulatory challenges between Venture Global and several of its customers.
According to Reuters, the Heat Recovery Steam Generators (HRSGs) at Calcasieu were at least part of the problem that has delayed commercial operation of the plant.
Therefore, US Federal Energy Regulatory Commission (FERC) gave the green light on Tuesday for the company to re-introduce hazardous fluids to part of its Calcasieu LNG export plant progressing it toward commencing commercial operations.
The plant has been sending out LNG cargoes in test mode since March 2022. Those test cargoes do not go to customers until the project is commercial.
This delay in commercial operations has led to some of Venture Global’s customers, including BP and Shell, to seek arbitration to force Venture Global to release the LNG cargoes from the Calcasieu plant to fulfill their supply agreements.