Cameron LNG Plant, USA
- Client
- Cameron LNG, LLC
- Capacity
- 3 x 4.50 mtpa trains
- Location
- Hackberry, Louisiana, U.S.A.
- Scope of Work
- Engineering, Procurement and Construction (EPC)
- Year of completion
- Train1/2: 2019, Train3: 2020
Contributing to a Stable Supply of Energy to Japan by Diversifying Suppliers
A Large-Scale LNG Project in the USA
This Engineering, Procurement and Construction project was to convert existing LNG receiving facilities, owned and operated by Cameron LNG, LLC, to a new LNG liquefaction plant with a production capacity of 13.5 mtpa (3 x 4.50 mtpa trains) and an export terminal. Leading energy companies in the USA, France and Japan will operate the facilities and export natural gas to satisfy demand for emerging Asian markets, primarily Japan.
The North American Shale Gas Revolution
Liquefaction facility construction projects were launched in the USA, especially on the Gulf Coast, following the Shale Revolution in North America, a turning point in the energy industry which facilitated new technology such as hydraulic fracturing and enabled the extraction of petroleum (oil) and natural gas from shale formations. As a leading global integrated engineering contractor, Chiyoda was awarded this EPC contract, one of the largest LNG plants in Louisiana, USA.
Overcoming Many Challenges
Chiyoda relocated key personnel to McDermott’s office (JV partner) in Houston, Texas upon project commencement in 2014. The development of shale gas gained momentum following the gradual recovery of crude oil prices in 2016 and a shortage of skilled labor, coupled with a rise in labor costs and reduced productivity of local workers, exceeded all expectations in 2018.
Unprecedented adverse weather conditions across Texas and Louisiana also delayed construction and a state of emergency was declared across Louisiana following Hurricane Harvey in 2017.
Mitigation measures, including increasing the number of employees assigned to the USA, were implemented to overcome these extraordinary challenges, leading to the successful production of LNG from the first train in May 2019. President Trump visited the project on the first day of LNG production and congratulated all those involved for achieving this milestone.
Production of LNG from the second and third trains commenced in December 2019 and May 2020, respectively, with final completion achieved in July 2020.
Contributing to a Stable Supply of Energy to Japan
Liquefied natural gas will be exported from Cameron LNG to Asia for 20 years and, while Japan imports a significant volume of its LNG from Oceania, Southeast Asia and the Middle East, the USA has now been added to this list of suppliers, contributing to a more stable supply of energy.