NGI The Weekly Gas Market Report / NGI All News Access

Port Dolphin LNG Project Gets Local Nod

Manatee County Florida officials last Thursday gave their blessing to Port Dolphin Energy LLC's plans for a deepwater port to receive regasified liquefied natural (LNG) gas along with an associated gas pipeline off the coast of Tampa Bay, FL. The project still needs the approval of the U.S. Maritime Administration.

The unloading portion of the deepwater port, named Port Dolphin, would be located in federal waters approximately 28 miles off the Tampa Bay area coast in approximately 100 feet of water, according to Port Dolphin's parent company, Norway's Hoegh LNG.

The Manatee County Port Authority approved a long-term $30 million agreement with Port Dolphin. Late last year the Federal Energy Regulatory Commission approved the onshore pipeline portion of the project over the objection Gulfstream Natural Gas System LLC, which wanted the Port Dolphin connection to its system to be made offshore instead (see NGI, Dec. 7, 2009).

Port Dolphin officials estimate that the project will generate more than $150 million in direct economic impact within Manatee County during the next 20 years. Construction is expected to begin in 2012 with completion in 2013. During the first five years of the agreement, Port Manatee will receive more than $16 million in cash and assets, followed by about $15 million over the remainder of the agreement.

"With the addition of Port Dolphin to our growing family of energy-related companies, Port Manatee exhibits its leadership as an incubator for local jobs and regional economic growth," said Larry Bustle, chairman of the Manatee County Port Authority.

LNG tankers would arrive at Port Dolphin's offshore facility and then connect to a new undersea pipeline system that would come onshore at Port Manatee. Port Dolphin's vessels will be outfitted to regasify cargoes of LNG onboard ship. In addition to its offshore port facility and pipeline, Port Dolphin is also expected to base an operations center at Port Manatee. Last October a record of decision was signed, paving the way for a deepwater port license to be issued by the U.S. Maritime Administration (see NGI, Nov. 2, 2009). An environmental impact statement has been completed for the project, which was approved in September by Florida Gov. Charlie Crist (see NGI, Sept. 21, 2009).

©Copyright 2010 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.

ISSN © 2577-9877 | ISSN © 1532-1266
Comments powered by Disqus