- Project Overview
- WHO IS GOLDEN PASS LNG?
Golden Pass is a partnership of leading energy companies with a successful record of producing, shipping and marketing natural gas globally. Golden Pass includes three specific businesses located in Texas – an existing LNG import facility, an existing pipeline system and an expansion of our current facilities that will allow Golden Pass to export LNG. The Golden Pass LNG import terminal and pipeline were completed and became operational in 2010.
- WHAT IS THE GOLDEN PASS LNG EXPORT PROJECT?
The Golden Pass LNG export project creates an opportunity to adapt existing energy infrastructure to meet global market demands, capturing benefits in the United States through jobs and investment and delivering an abundant energy resource to our trade partners. The project involves the construction of natural gas liquefaction and export facilities at the existing Golden Pass LNG terminal in Sabine Pass, Texas. The Golden Pass expansion project would utilize the existing state-of-the-art tanks, berths and pipeline infrastructure, and add new facilities for natural gas pre-treatment and liquefaction. The new project’s estimated send-out capacity would be around 16 million tons of liquefied natural gas per year. This expansion would allow Golden Pass the flexibility to import and export natural gas.
- HOW BIG OF AN INVESTMENT IS THIS PROJECT?
The project would be an approximately $10 billion investment on the Gulf Coast, generating billions of dollars of economic growth at local, state and national levels and millions of dollars in taxes to local, state and federal governments. According to a study performed by The Perryman Group, Golden Pass LNG’s investment could generate approximately $34 billion in U.S. economic gains (gross product) and $5 billion in taxes for the U.S at local, state and national levels.
- WHAT ARE THE OWNERSHIP PERCENTAGES IN THE PROJECT?
Project shareholders include affiliates of Qatar Petroleum (70%) and ExxonMobil (30%).
- WHAT SIZE LIQUEFACTION FACILITY IS GOLDEN PASS BUILDING?
The expanded facility’s estimated send-out capacity would be around 16 million tons of LNG per year.
- IS GOLDEN PASS BUILDING THE FACILITY AT THE EXISTING LOCATION?
Yes, the facility is an expansion of Golden Pass LNG’s existing infrastructure. It will sit adjacent to, and be connected with, the existing terminal, and it will utilize the existing tanks, berths and pipeline infrastructure. The expansion project will leverage the existing industrial footprint, minimizing environmental and community effects.
- WILL GOLDEN PASS STILL BE ABLE TO IMPORT AFTER THE EXPANSION?
Yes, the facility will maintain its existing import infrastructure.
- HOW LONG WILL IT TAKE TO DEVELOP, CONSTRUCT AND BEGIN OPERATING THE EXPORT FACILITY?
Construction of the export infrastructure facility is projected to take approximately five years to complete.
- When will Golden Pass begin hiring?
Golden Pass began initial hiring activities for permanent positions in 2019 and will ramp up every year through 2023. The majority of our permanent hires are projected to occur between 2021 and 2023. We will publish additional details about the hiring process, timelines and open positions on our Work with Golden Pass page.
- What are the economic benefits of the project?
The project would be an approximately $10 billion investment in infrastructure on the Gulf Coast, which would generate billions of dollars of economic growth at local, state and national levels and millions of dollars in taxes to local, state and federal governments.
According to a study by The Perryman Group, Golden Pass’s investment could generate approximately $31 billion in U.S. economic gains (gross product) at local, state and national levels over the life of the project.
- What is the anticipated employment during construction?
Golden Pass anticipates the project would support approximately 19,000 direct construction jobs over a five-year construction period, with peak construction employment reaching about 7,000 jobs.
- How is natural gas converted to LNG?
Natural gas is converted to LNG by cooling it to -260° Fahrenheit, at which point it becomes a liquid. This process reduces the volume of natural gas by a factor of more than 600 times. This allows natural gas to be transported efficiently.
- Is LNG Safe?
The Golden Pass LNG export project creates an opportunity to adapt existing energy infrastructure to meet global market demands, capturing benefits in the United States through jobs and investment and delivering an abundant energy resource to our trade partners. The project involves construction of natural gas liquefaction and export facilities at the existing Golden Pass LNG terminal in Sabine Pass, Texas. The Golden Pass expansion project would utilize the existing state-of-the-art tanks, berths and pipeline infrastructure, and add new facilities for natural gas pre-treatment and liquefaction. The new project’s estimated send-out capacity would be around 16 million tons of liquefied natural gas per year. This expansion would allow Golden Pass the flexibility to import and export natural gas.
- WHAT APPROVALS AND PERMITS WERE NEEDED FOR THE LIQUEFACTION AND EXPORT PROJECT?
The proposed project required numerous federal, state and local permits before construction and operation could begin. Federal permits must be obtained from the Department of Energy and the Federal Energy Regulatory Commission. DOE permits are required for export shipments and under the Natural Gas Act. FERC has the final authority to approve the siting of facilities for import or export of natural gas.
Golden Pass is authorized by FERC and the DOE to export to nations that have Free Trade Agreements with the United States and Non-Free Trade Agreement countries.
- Did your October 30, 2019 FERC extension request constitute a delay in the project?
No, it does not. There is no delay in our project start up. Our position remains that we will have Train 1 operational in 2024. We mobilized immediately after FID and are under construction and on schedule.
- Why did you request an extension?
We wanted to ensure we were able to maintain compliance with our our FERC order. Given regulatory delays that spawned internal alignment adjustments, we effectively used roughly two of the five years granted by FERC before construction even began. We requested the extension to "reclaim” the original five-year construction window, plus roughly two years for flexibility that puts in line with other large scale LNG Projects.
- Why did you request an additional two years?
These projects are incredibly complex. We also must stay in compliance with our regulators' orders. FERC has recently issued seven-year in-service orders to two companies. We made that same request to FERC to ensure maximum regulatory flexibility for our project.
- What is the purpose of your regulatory filings requesting a waiver of the FERC’s Buy/Sell prohibition?
Golden Pass is actively engaged in negotiating and securing long-term natural gas supply agreements for its LNG manufacturing and export facility in Sabine Pass, Texas. Golden Pass is requesting the waiver to engage in negotiations for the future purchase of natural gas from upstream affiliates as part of its portfolio.
- What is the purpose of regulatory filings requesting an increase from 15.6 to 18.1 MTA?
Golden Pass LNG submitted requests to the Federal Energy Regulatory Commission to amend the authorized capacity for the Golden Pass LNG export facilities currently under construction in Sabine Pass, Texas, from 15.6 MTA to 18.1 MTPA. This request does not involve any equipment changes or environmental permit adjustments. Rather, the increase is driven by production efficiencies with the same equipment. FERC approved that request in January 2021.
Because the capacity increase does not involve additions or adjustments to the permitted facilities, it would not result in any construction or environmental impacts beyond those previously identified in our Final Environmental Impact Statement.
- Does Golden Pass plan to purchase the rest of its supply from suppliers affiliated with its shareholders, ExxonMobil and Qatar Petroleum?
Not necessarily. Golden Pass will be buying gas from a wide-range of quality partners. This FERC waiver request would ensure Golden Pass can engage in negotiations with our upstream affiliates, thus maximizing our commercial optionality. But, that does not suggest we would purchase the rest of our gas supply from those affiliates.
- Did Golden Pass FID without a Sales and Purchase Agreement (SPA) in place?
No. Golden Pass entered into a binding SPA with Ocean LNG for all of the LNG volumes produced by Golden Pass prior to shareholders making an FID. See the Ocean LNG story here: https://www.lngworldnews.com/o...
- Where will the gas you export come from?
Once operational, Golden Pass will be one of the largest buyers of natural gas in the United States. The company is focused on securing supply agreements to meet its anticipated demand needs of about 2.6 billion cubic feet per day. Additionally, Golden Pass has already executed contracts for firm transportation service for more than half of its needed supply and is evaluating additional supply pipeline transportation opportunities.
- Are you still buying gas? How much will you eventually buy?
These are the first steps in a marathon to complete agreements for 2.6 bcf/d of long-term natural gas supply to support our LNG export facility.
- Is Golden Pass only buying gas from suppliers affiliated with its shareholders, ExxonMobil and Qatar Petroleum?
No, Golden Pass will be buying gas from a wide-range of quality partners.
- COVID-19 Impacts
- What is Golden Pass LNG doing to address COVID-19 risks?
The COV19 crisis is dynamic and challenging. Our focus continues to be on the health and safety of our employees, our contractors and our community. Golden Pass is taking the necessary steps to ensure a safe work environment as we all work through this rapidly evolving situation. We are following our defined pandemic plan and will continue to enhance our actions based on CDC guidance.
At our construction site in Sabine Pass, Texas, efforts include:
- Personal hygiene (regular cleaning with disinfectants, frequent hand washing, healthy habits)
- Site access (restricted visitor access, temperature checks at the gate)
- Social distancing protocols (minimization of face-to-face meetings, all encouraged to meet virtually, safety briefings via radio)
- Reduced workforce density (only critical employees going on site)
- Enhanced cleaning frequency & practices (increased frequency of cleaning throughout the day, 3x/day in high traffic areas)At our office locations in Houston, Japan and Beaumont, efforts include:- Social distancing protocols (all employees working from home)
- Personal hygiene (promoting personal hygiene, reminding employees to take precautions like frequent hand washing)
- Communication (communicating with employees often to check in, reminding them of actions they can take to stay safe and keep their families safe, offering support if needed)
- Has the project been delayed due to the COVID-19 pandemic?
The construction project continues on track, despite COVID related challenges. Our project team and EPC partner have done a remarkable job of keeping the plant under construction and on schedule, while ensuring the health and safety of all of the workers. We are still scheduled to have Train 1 operational in 2024.