The US Federal Energy Regulatory Commission (FERC) has approved a request for a five-year extension to the deadline for completion of the Magnolia LNG export terminal in Louisiana, US.
Magnolia LNG Holdings, a subsidiary of Glenfarne Group, and Kinder Morgan, filed joint documents with FERC in September requesting that the completion date for the 8.8 million tpa terminal and the Kinder Morgan pipeline that will supply feed gas, be extended to April 2026 from April 2021. The companies blamed ‘unforeseeable developments in the global LNG market,’ including a global oversupply of LNG, disruptions in the China-US LNG trade and the ongoing COVID-19 pandemic, which affected the terminal’s ability to secure offtake contracts.
Glenfarne says that Magnolia LNG, which is situated on a sire on the Industrial Canal near Lake Charles will begin operations by 15 April 2026.
‘Coming only a few months after our acquisition of Magnolia LNG, this extension approval is an important early milestone in our development plan, and it underscores our focused commitment and belief in the project,’ says Vlad Bluzer, managing director of Glenfarne and president of Magnolia LNG Holdings.
Brendan Duval, founder and managing partner of Glenfarne adds that the company believes that Magnolia LNG ‘has the right size and scope to best compete in the current and future LNG market.’