Venture Global LNG has awarded Baker Hughes a contract to provide a liquefied natural gas (LNG) system for the first phase of the Plaquemines LNG project in Louisiana. The liquefaction train system to be supplied is made up of 24 modularized compression trains, helping to lower construction and operational costs with a plug-and-play approach that enables faster installation. Baker Hughes manufactures, tests, and transports the preassembled and integrated modular turbomachinery units for Venture Global LNG at its manufacturing and assembly facilities in Italy.
Baker Hughes will also provide field services for commissioning of the supplied equipment. The order builds on an award in the fourth quarter of 2021 for Baker Hughes to provide power generation and electrical distribution equipment for the power island system of the project.
The Plaquemines LNG project order follows a similar contract for an LNG technology solution supplied by Baker Hughes for Venture Global’s Calcasieu Pass LNG terminal in 2019, also in Louisiana. In 2021, Baker Hughes successfully completed delivery of the ninth and final block for Calcasieu Pass. According to the contractor, Calcasieu Pass holds the global record for the fastest construction of a large-scale greenfield LNG project, moving from FID to first LNG in 29 months. In December, Venture Global announced plans to build a twin facility next door to Calcasieu Pass.
The contracts were awarded under a master equipment supply agreement between Venture Global LNG and Baker Hughes for 70 mtpa of production capacity. Baker Hughes' first equipment deliveries for the Plaquemines LNG project are expected to begin in the first half of 2023.
Separately, Venture Global LNG revealed a new long-term 20-year sales and purchase agreement with Shell NA LNG LLC for the supply of 2 mtpa of LNG from the coming Plaquemines LNG export facility. The deal builds on Shell’s existing contract for 2 mtpa from the Calcasieu Pass LNG export terminal.
Venture Global has other offtake deals in place for Plaquemines LNG, including a 4-mtpa contract with PGNiG (Polish Oil & Gas Company).
The LNG plant at Plaquemines is currently under construction and is expected to come on line in 2024.
