Air Products Wins Contract for TX LNG Plant, Marcellus Connection?
This is the kind of story MDN enjoys telling–connecting dots that others haven’t noticed. In broad brush strokes, Air Products announced on Tuesday that they have won the contract to provide two massive liquefied natural gas heat exchangers for Freeport LNG in Freeport, Texas. The heat exchangers will take two years to build and both will be built at their Wilkes-Barre, PA plant. At first blush you may not think there is a connection to the Marcellus/Utica, but there is. Here’s how the Air Products announcement all ties together for the Marcellus Shale (and what you won’t find anywhere else)…
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Once again the Marcellus is in the middle of what appears to be a Democrat vs. Republican fight–this time over who will control prime riverfront port facility property in the Delaware River in Philadelphia. Here is our understanding of the situation: the Philadelphia Regional Port Authority (PRPA) is in talks to lease 200 acres at the Southport facility to Philadelphia Energy Solutions (PES)–operator of the former Sunoco Inc. refinery in South Philadelphia–who would then turn around and find an operator for the terminal itself. PES wants to ship Marcellus Shale gas from the port facility location after piping it there from other parts of PA. But a bigtime Philly Democrat, John Brown Jr., president of Penn Warehousing and Distribution Inc. (a paper-import company) wants to lease the port facility for himself and the operations of his company. So Brown hired former State Senator Vincent J. Fumo (Democrat with a lot of influence) to pull strings and hose the deal developing between PRPA and PES…
Would it surprise you to learn that there are now six potential liquefied natural gas (LNG) projects on the books or under serious consideration for the East Coast that aim to use at least some Marcellus Shale gas for export? Would it astound you (as it did us) that five of the six are Canadian and not U.S. projects? And would it further astound you (although it did not surprise us) that the reason five of the six are in Canada is because of the extreme regulatory delays in getting such projects authorized in the U.S. intentionally thrown up by the Obama administration? Below is a list of all six East Coast LNG export projects that are being talked about, plus Gulf Coast and other LNG plants we’re aware of that will be fed, in part, with Marcellus Shale gas…