Dominion Starts Cove Point LNG Production
Dominion Energy Cove Point (DECP) has begun producing liquefied natural gas with its newly constructed natural gas liquefaction facility undergoing commissioning in Lusby, MD.
All major equipment has been operated and is being commissioned as expected following a comprehensive round of testing and quality assurance activities.
Shell NA LNG is providing the natural gas needed for liquefaction during the commissioning process and will off-take by ship the LNG that is produced.
When commissioning is complete, DECP will produce LNG for ST Cove Point, which is the joint venture of Sumitomo Corporation and Tokyo Gas, and for GGULL, the U.S. affiliate of GAIL (India) LTD under 20-year take-or-pay contracts. DECP's liquefaction facility has a nameplate capacity of 5.25 mtpa of LNG. The facility is expected to enter commercial service in early March.
Construction of the liquefaction facility began in October 2014, following more than three years of federal, state and local permit reviews and approvals. With a cost of $4 billion, it is the largest construction project ever thus far for Maryland and for Dominion Energy. Construction has involved more than 10,000 craft workers and a payroll of more than $565 million.