I've been very impressed how Cheniere has been able to make lemonade out of lemons. They have now locked up another long term contract that should secure a second train to Freeport LNG.

Somehow I think there "imminently" will be much quicker than Interoil's.

http://www.pennenergy.com/articles/ogj/2013/02/bp-signs-20-year-contract-with-freeport-lng-expansion.html?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+oil-gas-news+%28Oil+%26+Gas+News%29

BP signs 20-year contract with Freeport LNG Expansion

HOUSTON, Feb. 11

February 11, 2013

By OGJ editors

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BP PLC signed a 20-year liquefaction tolling agreement with Freeport LNG Expansion LP covering 4.4 million tonnes/year, which would be the production capacity of a second train at Freeport LNG’s proposed liquefaction and LNG terminal at Quintana near Freeport, Tex.

Michael S. Smith, Freeport LNG chief executive officer, said his company already has contracts signed last year with Osaska Gas Co. Ltd. and Chubu Electric Power Co. for another 4.4 million tonnes/year total.

“With the first two liquefaction trains of the project fully contracted, we intend to approach the financing markets imminently so that we can begin construction on the initial two-train facility as soon as we receive FERC approval,” Smith said.

The project awaits construction authorization from the US Federal Energy Regulatory Commission and authorization from the US Department of Energy to export LNG to non-Free Trade Agreement countries.

DOE is expected to review Free port LNG’s non-FTA export application after a comment period on an LNG export study ends Feb. 25.

Freeport LNG Expansion is a subsidiary of Freeport LNG Development LP.

'jft310' pid='17327' datel Wrote:Many miss this key point.Exxon will start production in 2014 of LNG and they have supply contracts for LNG production. They don't have enough NG to meet those supply contracts.IOC can build a CSP in 24-30 months with Mitsui and deliver some dry NG to them to help meet those supply contracts in 24-30 months. Will that happen??? Seems like it must happen and we can only guess what Exxon would be willing to pay to get their hands on that dry NG.They may not be IOC's partner but an offtake with them for X amount of dry NG seems like a no brainer.

JFT,

What does Exxon's PNG LNG project have to do with a lower 48 LNG facility.

Besides if Exxon doesn't have enough gas for production in 2014 then IOC is still not an option for them since 24-30 months from now is Feb 2015-Sept 2015.

Not quite a no brainer per mathematical logic.

-CL