Cheniere Energy, operator of the Sabine Pass Liquefaction terminal in Louisiana, does not expect the removal of two storage tanks from service to affect the export levels of liquefied natural gas (LNG).
The U.S. Pipeline and Hazardous Materials Safety Administration (PHMSA) issued an order on February 8 directing Sabine Pass to temporarily remove two of its five storage tanks from service after workers discovered a leak in one of the storage tanks on January 22. The tanks are used to store LNG after it has been liquefied, prior to loading it onto ships for export. The facility’s five tanks can hold the equivalent of 17.0 billion cubic feet (Bcf) of natural gas. Removing two tanks from service reduces this capacity to 10.2 Bcf-equivalent. For comparison, the average capacity of an LNG carrier leaving Sabine Pass is 3.6 Bcf-equivalent.
Since last October, Sabine Pass has been running four LNG production trains. According to data from PointLogic Energy, deliveries of natural gas to the terminal in December averaged 3.1 Bcf/d, the highest level since the facility began operations. January’s liquefaction volumes averaged 0.5 Bcf/d lower than December’s, in part because water supply issues at the plant led to reduced operations in the middle of the month. From February 1–20, pipeline natural gas feedstock deliveries to Sabine Pass averaged 2.8 Bcf/d of natural gas.
For reasons currently undetermined, LNG was released into the area between the inner and outer walls of the storage tanks, a space known as the annulus. The inner tank was built to handle temperatures as low as -260 degrees Fahrenheit (°F), and the outer wall was designed to handle temperatures as low as -25°F. Contact with the LNG caused cracks to form in the outer wall, which led to LNG escaping the annulus and pooling in the secondary containment area outside the tank.
On investigation of the leak, PHMSA found that a second tank, fabricated by the same company, had also experienced a release of LNG into its annulus. No liquid had leaked through the outer wall of this tank, although some vapor leakage occurred. This tank was also included in the shutdown order.
Before these tanks can be placed back into service, Sabine Pass must undertake a series of analyses and corrective actions and receive approval from PHMSA.