Wednesday, June 8, 2022

Gulf LNG plant fire contained

An explosion and fire early on June 8 struck at the Freeport liquefied natural gas (LNG) plant on the Texas Gulf Coast, prompting an evacuation of nearby beaches and sending U.S. natural gas futures sharply lower. There were no injuries. The fire occurred about 11:40 a.m. (CT) and contained by noon, the company said. An "all clear" had been issued by mid-afternoon. Freeport LNG did not say what caused the fire and provided no information on the status of plant operations. An investigation is underway, a spokesperson said. The explosion comes at a time when global demand for LNG has soared in relation to Russia's invasion and European countries weaning themselves off gas from Russia. The plant can process up to 2.1B cubic feet of natural gas per day (bcfd) supercooled into a liquid for export. Earlier in the day, it was drawing about 2 bcfd of pipeline gas. One billion cubic feet of gas is enough to supply about 5M U.S. homes for a day. (Source: Reuters 06/08/22)

No comments: