Natural Gas Weekly Update Report – February 22, 2018
Two liquefied natural gas storage tanks are removed from service at the Sabine Pass Liquefaction Terminal
Cheniere Energy, operator of the Sabine Pass Liquefaction terminal in Louisiana, does not expect the removal of two storage tanks from service to affect the export levels of liquefied natural gas (LNG). The U.S. Pipeline and Hazardous Materials Safety Administration (PHMSA) issued an order on February 8 directing Sabine Pass to temporarily remove two of its five storage tanks from service after workers discovered a leak in one of the storage tanks on January 22. The tanks are used to store LNG after it has been liquefied, prior to loading it onto ships for export. The facility’s five tanks can hold the equivalent of 17.0 billion cubic feet (Bcf) of natural gas. Removing two tanks from service reduces this capacity to 10.2 Bcf-equivalent. For comparison, the average capacity of an LNG carrier leaving Sabine Pass is 3.6 Bcf-equivalent.
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