El Paso Corp.’s Elba Island LNG terminal, which has been dormant since 1980, officially opened its doors yesterday when it received the diverted tanker from Distrigas of Massachusetts LLC that had been barred from entering Boston Harbor last week.

“It means it opened today [Tuesday] for business,” said El Paso spokeswoman Norma Dunn, who was at the 140-acre Elba Island site witnessing the arrival of the tanker. “It docked early today and we’re in the process of unloading it,” she noted, adding that workers at Elba Island were being “fully supported” by the Coast Guard in Georgia in this effort. She estimated that the off-loading would take a couple of days.

Dunn indicated that negotiations “very likely” have occurred already to sell the Distrigas LNG in regasified form, but she could not say who the buyer or buyers were. The gas “is certainly going to find a home,” she told NGI. “There will be more shipments” to Elba Island, but she wouldn’t say when or whether anymore were expected from Distrigas.

The Coast Guard in Boston denied entry into the harbor last Tuesday to the tanker from Trinidad that was filled with 33 million gallons of LNG and destined for Distrigas’s terminal in Everett, MA, citing safety and security concerns in the wake of the Sept. 11 terrorist strikes. LNG shipments to the company’s facilities will continue to be banned until Distrigas, in cooperation with state and federal authorities, comes up with a plan to ensure the security of the tankers and the surrounding communities from possible terrorist attacks.

Distrigas last Friday declared force majeure — which released its from its contract obligations with its “20 or so” large LNG customers in New England — as a result of the Coast Guard’s freeze on its LNG shipments. The company reportedly is losing about $100,000 a day on the halted shipments.

A spokeswoman indicated that Massachusetts Gov. Jane Swift does not expect Boston Harbor to remain closed to Distrigas shipments for long, possibly only a couple of weeks.

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