G2 Net-Zero stops pursuing development of LNG export project in Louisiana
G2 Net-Zero stops pursuing development of LNG export project in Louisiana - Offshore Energy
G2 Net-Zero stops pursuing development of LNG export project in Louisiana
US-based company G2 Net-Zero has decided to drop plans to build a 1.3 million tonnes per annum (mtpa) LNG export facility in Louisiana.
At the end of March, the company submitted a filing to the US Department of Energy (DOE) requesting to vacate its LNG export authorization to free trade agreement (FTA) countries and withdraw its pending application for LNG export authorization to non-free trade agreement (NFTA) countries.
G2 Net-Zero said that, since submitting its applications for LNG export authorization, its corporate focus has shifted away from LNG export activities to the development of net-zero greenhouse gas emission energy products.
“Thus, G2 LNG recently decided to cease development of its previously planned natural gas liquefaction facilities in Cameron Parish, Louisiana”, the filing stated.
Previous plans of G2 Net-Zero LNG, a venture of Chas Roemer Innovations, included an $11 billion energy complex that would produce and sell industrial gases, including argon, blue ammonia, hydrogen, nitrogen and oxygen by 2023. By 2027, G2 planned to produce, transport, process, liquefy and export natural gas, all while leveraging the capture of 4 million tons of CO2.
FERC had previously approved the site for the construction of the LNG regasification facility.
In 2021, the company executed a letter of intent with NET Power to integrate the latter’s Allam-Fetvedt Cycle technology which removes all CO2 emissions from the natural gas liquefaction process to achieve a unique carbon net-zero energy mix of industrial gases, electricity and LNG.
Now, G2 Net-Zero’s website states that the company plans to build a “world-scale blue ammonia plant in Southwest Louisiana.
Just recently, a Canadian player also decided to stop advancing an LNG project on the Strait of Canso and proposed constructing and operating a green hydrogen and ammonia facility instead.
Related Knowledge Center: Liquefied natural gas
Driven by plentiful natural gas produced from shale plays, the United States began exporting liquefied natural gas in 2016 when the Sabine Pass terminal in Louisiana opened and shipped its first cargo. Since then, additional capacity, or trains, have been added to Sabine Pass, and terminals have become operational in Cameron Parish, La.; Hackberry, La.; Cove Point, Md.; and Corpus Christi, Texas. The Energy Information Administration projects that U.S. LNG export capacity will reach 8.9 billion cubic feet per day (Bcf/d) by the end of 2019, making it the third largest in the world, behind Australia and Qatar. The tariff war with China has the potential to impact some final investment decisions for additional terminals in the coming months.