Venture Global LNG will purchase a new fleet of LNG-powered vessels instead of leasing or chartering them
The company has announced the acquisition and construction of nine new ships, currently under construction at an unnamed yard in South Korea. Six vessels will have a cargo capacity of 174,000 m3 and the remaining three a capacity of 200,000 m3.
Venture Global LNG chief executive Mike Sabel said the company expects to take delivery of the first two ships later this year. All nine vessels will use the latest 2-stroke MEGA/MEGI engines. Venture Global said the selected main engine type supported by the shaft generator technology “significantly reduces” methane slip compared with the previous generations of 2-stroke and 4-stroke-propelled LNG carriers.
The decision to opt for an owned fleet gives the exporter the option of selling cargoes directly into the spot market without using trading houses or intermediaries.
“We are sending a strong signal to the global market of our long-term commitment to meeting the world’s growing energy demand at a large scale, bolstering the security of our customers and allies by providing them with clean, affordable and reliable US LNG as efficiently as possible,” Mr Sabel said.
This week, the company lashed out at the Federal Energy Regulatory Commission (FERC) for leaving Calcasieu Pass 2 (CP2) off the agency’s monthly agenda. A statement on social media read: “Venture Global is deeply disappointed that CP2 is yet again absent from the FERC Agenda. It has been eight months since FERC issued a Final Environmental Impact Statement for CP2, making it one of the longest to ever sit before the Commission. We remain confident we have met or exceeded all regulatory requirements that are necessary to move forward with the project.”
In January, the Biden administration announced it would temporarily pause LNG export approvals, a move that has sparked concern from American exporters and beyond given the growing global demand for LNG.
Despite the regulatory pause on approvals, Venture Global said it is proceeding with developing the Calcasieu Pass 2 facility in southwest Louisiana and expects preliminary production as soon as 2026 if the Department of Energy’s pause is lifted in the short term.
A statement read, “Relying on what has historically been a fair and predictable regulatory regime, free from political interference, we have launched off-site construction and spent billions of dollars on the project. First LNG is expected in 2026 should the federal government act without further delay to approve CP2. Phase One is nearly sold out with 9.25 mta of 10 mta contracted. Two thirds of that capacity is committed to our allies in Germany and Japan who are counting on the LNG to replace lost Russian volumes. We are hopeful that FERC will remain the independent agency it always has been.”
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