Dynegy to construct LNG plant in Louisiana

Dynegy Inc. has announced plans to construct a liquefied natural gas (LNG) receiving and re-gasification terminal in Hackberry, Louisiana, on the site of the company’s existing liquefied petroleum gas (LPG) terminal. The new LNG facility will be capable of receiving and processing 750 million cubic feet per day (MMcf/day) of LNG and expandable up to 1.5 billion cubic feet per day (Bcf/day). Dynegy expects to begin the first phase of commercial operation by the end of 2003, representing an 18- to 24-month time-to-market savings, with full capacity available by early 2004. The existing Hackberry site was operated as an LPG terminal by Trident and acquired by Dynegy in 1995. The terminal is strategically positioned with access to the Gulf of Mexico and the Atlantic Basin and will have the ability to connect to a number of natural gas pipelines that reach most major natural gas markets in the United States. Dynegy will add one LNG tank and vaporization facilities to the Hackberry site. Dynegy has completed a feasibility and detailed engineering analysis at Hackberry and is now working to obtain necessary permits from state and federal agencies.

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