GE, Cheniere sign $1billion service agreement for Sabine Pass LNG export terminal

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GE has entered into a $1 billion, 20+-year service contract with Sabine Pass Liquefaction, a subsidiary of Cheniere Energy Partners L.P., under which GE will provide spare parts and planned inspections, and maintenance services. GE will offer round-the-clock technical support for the gas turbines and refrigerant compressors on the first four LNG trains currently under construction at the Sabine Pass LNG export facility. Each train will have six gas turbines and is expected to have nominal capacity to produce approximately 4.5 million metric tons per annum (mtpa) of LNG.

According to the contract, GE will provide services that cover all major maintenance for the first four LNG trains, including parts, repairs and field services as well as a resident team of 14 local experts including field and repair services to assist with all aspects of maintenance on the GE equipment. GE will also provide access to original parts, supported by the technical expertise of GE’s field engineers, which will ensure optimal reliability.

Keith Teague, president and COO, Cheniere Energy Partners, L.P. said, “We need the right technology and service partner to support our facilities and ensure that we can deliver reliable production from our Sabine Pass LNG export facility. Our trains will have 24 GE gas turbines that will drive the refrigerant compressors.” GE’s ability to service the equipment and provide full on-site technical support to ensure optimal reliability was an important factor in the selection. Support for our terminal will come from their Houston, Cincinnati, and Atlanta facilities and other locations across the United States, he said.

The shale revolution in America is driving substantial investments in energy infrastructure and growth of jobs for the economy. U.S. energy suppliers continue to capitalize on new technologies to extract resources needed to meet domestic and global energy demands as the U.S. prepares to become a net gas exporter in 2016, according to the Energy Information Administration (EIA).

Rafael Santana, CEO & president—Turbomachinery Solutions for GE Oil & Gas said the contract with Cheniere at Sabine Pass will support the production of approximately 18 million mtpa of LNG from the first four LNG trains. “GE continues to be a major supporter of the U.S. LNG export boom. We're pleased that our well-proven technology was selected for the Sabine Pass Liquefaction facility and that Cheniere also will rely on our services expertise. We have been able to build a strong presence in the LNG sector by leveraging our technology and services for many of the world's leading LNG projects.”

 

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