Sabine Pass Liquefaction, a unit of Cheniere Energy Partners, has signed a memorandum of understanding (MOU) with EDF Trading, under which EDF Trading intends to contract for 1 billion to 2 billion cubic meters of annual bi-directional processing capacity at Cheniere's Sabine Pass LNG terminal in Louisiana, US.
Cheniere Partners owns 100% of the Sabine Pass LNG terminal located in western Cameron Parish, Louisiana on the Sabine Pass Channel.
The terminal has send-out capacity of 4.0bcf/d and storage capacity of 16.9bcfe.
The Sabine Pass liquefaction project will be designed and permitted for up to four modular LNG trains, each with a peak processing capacity of up to approximately 0.7bcf/d of natural gas and an average liquefaction processing capacity of approximately 3.5mtpa.
The initial project phase is anticipated to include two modular trains and the capacity to process on average approximately 1.2bcf/d of pipeline quality natural gas.
The company intends to enter into contracts for at least 0.5bcf/d of natural gas liquefaction capacity per train.
The commencement of construction is subject to regulatory approvals and a final investment decision contingent upon Cheniere Partners securing satisfactory construction contracts and entering into long-term customer contracts sufficient to underpin financing of the project.
The company expects LNG export to commence as early as 2015.