The Federal Energy Regulatory Commission (FERC) has approved New York-based Broadwater Energy's proposal to build and operate the first floating terminal for the storage and delivery of LNG in the US.
Broadwater Energy, a joint venture between Shell Oil and TransCanada Corporation, has proposed to permanently moor an LNG terminal to the bottom of Long Island Sound in New York waters. Most of the gas from Broadwater would flow into New York City via Iroquois' Eastchester lateral from Northport to the terminus at Hunts Point.
The terminal would be located nine miles offshore of Riverhead in Suffolk County, New York and 10.2 miles from the nearest onshore point in Connecticut. FERC estimates that Broadwater would handle 118 liquefied natural gas carriers each year, about two a week.
The US Coast Guard has indicated that a safety zone seven-tenths of a mile wide would be placed around the terminal for security and public safety.
'This decision is an important step forward in bringing new clean, reliable, affordable natural gas supply to a region where prices are volatile and climbing, air quality is a concern and is located at the end of the pipeline delivery system,' John Hritcko, senior VP, Broadwater, comments.
FERC produced a final Environmental Impact Statement (EIS) in January 2008 and determined that with the implementation of more than 80 specified mitigation measures, the project will result in limited adverse environmental impacts and fewer environmental impacts than any alternatives considered.
Petroleum and coal products make up the bulk of marine movements with 47 million tonnes transported through Long Island Sound a year.