Exxon Mobil and QatarEnergy have decided to postpone until the end of next year the start of operations of their export project, which delays the supply of LNG in Texas, valued at 10,000 million dollars. The move follows the bankruptcy filing of the main contractor, Zachry Holdings.
A plan that delays LNG supply
Despite setbacks this year, the companies agreed last month that other contractors would take over the completion of the Golden Pass project, allowing work to resume. According to Exxon CFO Kathy Mikells during a recent interview, the facility, which will have a capacity of 18 million metric tons per year, one of the largest in the United States, will begin operations approximately six months later than originally planned.
[post_relacionado]The delay in the schedule is due to a series of complications that arose over the course of the year. Last month, a judge in Houston intervened to resolve the dispute between the Exxon-QatarEnergy joint venture and Zachry. The latter had halted work and laid off thousands of workers, citing pandemic-related cost overruns, complications with ground conditions and problems in the LNG supply chain. In May, Zachry Holdings filed for Chapter 11 bankruptcy.
Mikells expressed his satisfaction when commenting on the agreement reached with Zachry, which will allow the project to continue. The facility will be commissioned gradually, and is expected to supply customers in Europe and Asia.
The Golden Pass project has the participation of other contractors, including McDermott International and Chiyoda International. However, QatarEnergy owns a 70% majority stake in the project, while Exxon controls the remaining 30%.
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Source: Energy Connects
Photo: Shutterstock