Liquefied Natural Gas Limited provided a general update on the development progress of its wholly owned 8 million tonnes per annum Magnolia LNG Project, in Louisiana, United States.
The MLNG Project is held through the company’s indirect 100% owned US subsidiary, Magnolia LNG and is being designed to comprise four LNG trains, each of 2 mtpa nominal (1.7 mtpa firm) LNG production capacity.
As announced on 13 December 2013, the company completed a $10.85 million equity capital raising to progress the MLNG Project. The company is now well funded to continue to progress all permits and environmental approvals required by FERC and all key commercial agreements during the 2014 calendar year.
Negotiations are continuing with a number of other parties to secure tolling arrangements for the MLNG Project’s remaining LNG production capacity.
MLNG is in the advanced stage of:
- selecting its preferred engineering, procurement and construction contractor; and
- agreeing the terms of a definitive Precedent Agreement for the transportation of gas to the MLNG Project. Responsibility for the supply and transportation of gas will be assumed by the tolling parties on the execution of definitive Tolling Agreement.
MLNG is on track to open its local project office in Lake Charles, Louisiana in January 2014 after planned tenant improvements are completed.
LNG World News Staff, January 09, 2014; Image: LNG Ltd.