FERC Grants Exxon and Qatar Three-Year Extension to Build Golden Pass LNG

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FERC Grants Exxon and Qatar Three-Year Extension to Build Golden Pass LNG
ExxonmobilQatarGolden Pass
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The U.S. Federal Energy Regulatory Commission has granted a three-year extension to ExxonMobil and QatarEnergy to build their $10-billion Golden Pass LNG export plant in Texas

, Reuters reports, citing an FERC filing. The federal regulator extended its authorization for construction after Golden Pass hit a snag earlier this year and faces delays due to the bankruptcy of Zachry Holdings, the lead construction contractor of the LNG project. These delays were the reason for FERC ’s extension, according to the document seen by Reuters.

The delay in the timeline for the start-up means that Exxon and its partner in the project, Qatar’s state firm QatarEnergy, will launch the export plant about six months later than originally scheduled, Exxon’s chief financial officer Kathy Mikells told Bloomberg at the time. In a setback for the $10-billion project, the lead contractor Zachry Holdings initiated a voluntary court-supervised Chapter 11 process in May and fired thousands of workers.

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