CMS Bringing More LNG Ashore
CMS Energy Corp. said two new liquefied natural gas (LNG)
shipments will be received at its CMS Trunkline LNG complex at Lake
Charles, LA, in September. The shipments are being delivered by CMS
Marketing, Services and Trading, and by Duke Energy Corp.
The Lake Charles complex has received 13 tanker shipments in
1999 and has firm commitments for nine more, including three this
month. CMS Trunkline expects a total of up to 25 LNG shipments by
year-end. Each tanker contains about 2.7 Bcf.
Business at the facility has increased over previous years. The
Lake Charles complex handled 12 shipments in 1997 and 17 in 1998.
During a 30-day period over July and August, the Lake Charles
complex will handle six shipments, including the first spot cargo
from Malaysia into the United States. In September, CMS Trunkline's
LNG complex will handle four shipments, including cargoes from
Algeria and Qatar.
"The global supply of LNG is high and we're aggressively seeking
out deals that will allow us to boost the utilization of the Lake
Charles facility through the rest of this year and beyond," said
Christopher A. Helms, president of the CMS Panhandle Pipe Line
companies, including the LNG facility. The growing demand for
natural gas in the United States, coupled with the completion of
several new LNG export facilities in the next 18 months, makes this
a very promising market for the next two to four years and beyond."
The Lake Charles complex offers flexibility to suppliers and
buyers with a delivery capacity of up to 700 MMcf/d. The facility
can store the equivalent of 2.3 tanker LNG deliveries, or about 6.3
Bcf. With its connection to CMS Trunkline Gas' interstate pipeline,
the Lake Charles facility has access to 15 gas pipelines and the
In April, CMS Marketing, Services and Trading agreed to buy 9.3 Bcf
of LNG in several shipments from the North West Shelf LNG project in
Australia for delivery to the CMS Trunkline LNG facility (See Daily
GPI April 28, 1999). The deal was the
second major transaction CMS has made to take advantage of its
purchase of Eastern Panhandle Pipeline and Trunkline Gas Co. from Duke
Energy last year.
The shipments from North West Shelf's liquefaction facilities
located at Withnell Bay in the port of Dampier, Australia, wee
scheduled to load in May, July, September and November, and arrive
at the Lake Charles LNG facility about 30 days later.
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