Page 11 - GLNG Week 25 2021

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an opportunity to rescind the extra condition, were valid, and the second bidding contest was
but the latter company did not agree to do so, it launched in February 2021.
reported. The winner of the second tender would have
It also noted that Excelerate had the right to had the right to negotiate a lease contract for the
appeal against its disqualification. The company Bahia terminal, which is capable of importing
has until June 28 to exercise that right, it said. and regasifying the equivalent of 20mn cubic
Excelerate submitted the only offer for the metres per day of LNG. Petrobras has described
Bahia LNG lease contract. It had been one of nine the terminal as “an island-type pier with all the
parties pre-qualified to participate in the tender. necessary facilities for mooring a FSRU (floating
The others were Bermuda-registered Golar LNG, storage and regasification unit) ship directly to
another international firm that specialises in the pier and a supply ship on the port side of the
LNG, along with three Brazilian firms (namely, FSRU.”
Compass Gas and Energy, a new Brazilian gas The proposed lease would also have covered
transport and distribution company set up by assets associated with the terminal – namely, a
the Cosan industrial group, and two Brazilian 45-km pipeline that runs from terminal facilities
gas distributors, Bahiagas and Naturgy) and four in the port of Bahia to exit points in São Francisco
vertically integrated international oil companies do Conde and São Sebastião do Passé, along with
(IOCs) – BP (UK), Repsol (Spain), Royal Dutch power-generating facilities in the Madre de Deus
Shell (UK/Netherlands) and Total (France). Waterway Terminal (TEMADRE). However, it
This was the second time that Petrobras has would not have included access to the Excelerate
tried to tender the Bahia LNG contract. The first Experience, a floating storage and regasification
attempt failed last year, when the NOC deter- unit (FSRU) that Petrobras has installed at the
mined that none of the offers it had received port of Bahia.™

Tellurian applies to build pipeline

to planned LNG terminal

PIPELINES & LNG developer Tellurian announced this week
TRANSPORT that its Driftwood Pipeline subsidiary had sub-
mitted a formal application to the US Federal
Energy Regulatory Commission (FERC) to
construct and operate a dual pipeline in Lou-
isiana. In a separate video message to inves-
tors, Tellurian’s executive chairman, Charif
Souki, provided an update on the company’s
preparations for kicking off construction at the
planned Driftwood LNG project south of Lake
Charles.
Driftwood Pipeline is seeking to build and
operate the dual 37-mile (60-km), 42-inch sign a long-term lease with the port authority
(1,067-mm) diameter Line 200 and 300 inter- where its proposed Driftwood LNG facility will
state pipelines, which will originate near Ragley be built on the banks of the Calcasieu river. He
in Beauregard Parish and end near Carlyss in added that the company was planning a refresh
Calcasieu Parish. The new pipeline project has of its pricing agreement with engineering, pro-
been designed and routed to connect supply curement and construction (EPC) contractor
north of Lake Charles to demand located within Bechtel this autumn. The process is anticipated
and south of Lake Charles, bypassing what has to take around 90 days, and will come as Tel-
become a “constrained, complex and expensive lurian prepares to issue a notice to proceed to
transportation pathway”, said Tellurian. Bechtel. The lump-sum turnkey (LSTK) EPC
Driftwood Pipeline is proposing to deploy contract is currently worth $15.5bn, and Souki
Baker Hughes-supplied electric-driven com- said he did not anticipate much change in the
pression to reduce the pipeline’s carbon dioxide pricing.
(CO2) emissions by more than 99%. The pro- To prepare the Driftwood site for full con-
posed pipeline project, coupled with other stra- struction, a state highway also needs to be wid-
tegic steps Tellurian is taking, is expected to lead ened and a pipeline that crosses the property
to a reduction of nearly a 1mn tonnes per year needs to be relocated, Souki said. Additionally,
(tpy) in direct greenhouse gas (GHG) emissions, the wet ground at the site has to be remediated to
or an overall reduction of 14%. allow for heavy equipment. That work will take
Meanwhile, Souki said Tellurian would soon 6-9 months, according to Souki.™

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