Page 9 - NorthAmOil Week 49 2022
P. 9

NorthAmOil                           PROJECTS & COMPANIES                                        NorthAmOil


       Freeport LNG again delays restart





        TEXAS            THE restart of Freeport LNG has again been  anticipated to be finished by the end of Novem-
                         delayed, this time until the end of December.  ber, the company said in a press release.
                         The facility was previously expected to have reo-  Each of Freeport LNG’s three liquefaction
                         pened in mid-December.               trains will be restarted and ramped up safely, in
                           Operations at the plant were suspended on  a slow and deliberate manner, with each train
                         June 8 following an explosion and fire. The com-  starting separately before restarting a subsequent
                         pany has several times set start-up dates and then  train. It is expected that approximately 2bn cubic
                         missed them.                         feet (56.6mn cubic metres) per day of production
                           “Based upon current progress, and subject  will be achieved in January 2023, the company
                         to us continuing to meet necessary regulatory  said in November. Full production utilising
                         requirements, we now anticipate that the restart  both docks remains anticipated to commence in
                         of our liquefaction facility will be achieved  March 2023, said Freeport LNG last month.
                         around year end,” a Freeport LNG spokesperson,   But a Rapidan Energy Group director, Alex
                         Heather Browne, told Reuters in an email.  Munton, told Reuters that gas processing at Free-
                           Proposed remedial work activities for a safe  port would likely not restart until the first quarter
                         restart of initial operations have been submitted  of next year, “with longer delays possible”.
                         to the relevant regulatory agencies for review and   In November, the US Pipeline and Hazard-
                         approval, the company said in mid-November.  ous Materials Safety Administration (PHMSA)
                           As of November 14, the reconstruction work  issued a report on the June explosion saying that
                         necessary to begin initial operations, including  the export terminal faced inadequate operating
                         use of all three liquefaction trains, two LNG stor-  and testing procedures. Human error and fatigue
                         age tanks and one dock, had been approximately  were also to blame, said the federal pipeline
                         90% complete, with all reconstruction work  safety agency.™


                                               ENERGY TRANSITION

       US EPA proposes higher




       renewable fuel blending




        US               THE US Environmental Protection Agency  rural economy and help reduce greenhouse gas
                         (EPA) has proposed expansions of obliga-  [GHG] emissions.”
                         tions for refiners who must blend renewable   Because the Energy Independence and Secu-
                         fuels into their gasoline. The new Renewable  rity Act of 2007 (EISA) does not include volumes
                         Fuel Standard (RFS) would contain a higher  after 2022, this is the first time that the EPA is
                         amount of renewable fuel blended from 2023  setting these proposed biofuel volume targets
                         until 2025.                          without using those outlined in statute.
                           Refiners, especially smaller ones, often object   When setting biofuel volumes for years after
                         to the logistics of blending and the fact that they  2022, EPA considers a variety of factors specified
                         must pay for credits – or renewable identification  in the statute, including costs, air quality, climate
                         numbers (RINs) – if they cannot blend enough  change, implementation of the programme to
                         renewable fuel.                      date, energy security, infrastructure issues, com-
                           The renewable fuel obligation for 2023 would  modity prices, and water quality and supply.
                         be 21.07bn gallons (including a supplemen-  The EPA is seeking comment on the pro-
                         tal 250mn gallons because of a court ruling),  posed volumes and how to appropriately balance
                         21.87bn gallons (82.8bn litres) for 2024 and  these factors so that the programme works for
                         22.68bn gallons for 2025.            renewable fuel growers and producers, refiners
                           “The Renewable Fuel Standard programme is  and their workers, and fuel consumers.
                         critical to helping incorporate more homegrown   The EPA is also seeking comment on how
                         biofuels into the market,” said the EPA’s admin-  this rule can intersect with continued viability of
                         istrator, Michael Regan. “This proposal supports  domestic oil refining assets, including merchant
                         low-carbon renewable fuels and seeks public  refineries, how best to support novel fuels like
                         input on ways to strengthen the programme.  sustainable aviation fuels and clean hydrogen,
                         We’re eager to continue the dialogue on how  and how to account for the new and updated
                         biofuels can bolster US energy security, protect  incentives in the Inflation Reduction Act (IRA),
                         consumers from high fuel costs, strengthen the  passed in mid-August.™



       Week 49   08•December•2022               www. NEWSBASE .com                                              P9
   4   5   6   7   8   9   10   11   12   13