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Annova LNG, in Brownsville, Texas, to cease development.

Annova LNG of Texas announced on March 22nd that it has immediately discontinued the development of its LNG export facility project in Brownsville, Texas.  The company had been working towards a 6.5 million tons per annum facility in the Port of Brownsville.

The Annova LNG project had yet to reach a final investment decision and had not announced any definitive long term supply contracts, and this decision to stop development follows the very recent departure of its Chief Executive Officer Omar Khayem.  The statement from Annova LNG regarding the reason for this discontinuation was “due to changes in the global LNG market.” 

It is unclear at this point how this decision could impact other LNG projects in the area, such as NextDecade’s 27 MMtpy Rio Grande LNG project and Glenfarne’s 2 MMtpy Texas LNG project. Both projects are being planned for eventual export operation in Brownsville, Texas.

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From the April 2018 issue of Hydrocarbon Processing

 

 
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