First LNG ship since 2012 arrives at ConocoPhillips plant near Kenai

  • By Tim Bradner
  • Friday, May 2, 2014 5:38pm
  • News

The first liquefied natural gas tanker arrived Friday morning at the ConocoPhillips LNG plant at Nikiski, near Kenai, following the company’s reactivation of the plant this spring.

The plant has been in a suspended status since late 2012.

The Excel is owned and operated by the Belgium-based Exmar shipping group. ConocoPhillips spokeswoman Amy Burnett could not say how long it will take to load the vessel or the destination of the cargo, although presumably it is in Asia.

ConocoPhillips plans six LNG shipments this year at approximately one-month intervals, Burnett said. The company has authorization from the U.S. Department of Energy to export LNG from the Kenai plant for two years.

The plant was built in 1969 by Phillips Petroleum and Marathon Oil. Phillips later merged with Conoco and subsequently purchased Marathon’s 30 percent share. LNG shipments to Japan were made from 1969 to 2010 under long-term contracts with Tokyo Gas and Tokyo Electric, when the contracts expired. Shipments since then have been on a per-vessel basis.

Plant operations and LNG exports were suspended in late 2012 as natural gas reserves in Cook Inlet were depleted. The measure was taken to reserve gas for regional utilities, which are also supplied by ConocoPhipps. Utilities’ needs are now met through recent new gas discoveries by Hilcorp and other companies, which has allowed for a resumption of exports.

Tim Bradner can be reached at tim.bradner@alaskajournal.com.

More in News

The 2022 graduating class of River City Academy celebrates Tuesday, May 17, 2022, outside of Skyview Middle School just outside of Soldotna, Alaska. (Photo by Jeff Helminiak/Peninsula Clarion)
River City Academy says goodbye to 19 grads, 2 original staff members

Tuesday’s graduation was the last for two staff members who have been with the school since its beginning

Lawmakers from both bodies of the Alaska State Legislature mingle in the halls of the Alaska State Capitol on Wednesday, May 18, 2022, the last day of the legislative session, following the Senate’s passing of the state’s budget bill. (Peter Segall / Juneau Empire)
Senate agrees to budget, House has until midnight

With hours left in session, House members remain divided

Renewable IPP CEO Jenn Miller presents information about solar power during a meeting of the Kenai Peninsula Borough Assembly on Tuesday, Oct. 12, 2021 in Soldotna, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
Assembly OKs new tax exemptions for independent power producers

The ordinance was brought forth in response to a proposed solar farm on the Kenai Peninsula

Kenai Central High School graduates throw caps at the end of their commencement ceremony on Tuesday, May 17, 2022, in Kenai, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
‘Make a great life’

Kenai Central High School graduates more than 75 students

A black bear gets into a bird feeder in April 2005 at Long Lake, Alaska. (Photo courtesy of Alaska Department of Fish and Game)
Watch out for bears, moose

Take precautions to keep attractants away from bears and give moose and calves space

Kenai Finance Director Terry Eubank, left, and Kenai City Manager Paul Ostrander present during a budget work session on Saturday, May 14, 2022, in Kenai, Alaska. (Ashlyn O’Hara/Peninsula Clarion)
Flat mill rate, sales tax included in Kenai budget proposal

The budget proposal is subject to final approval by the Kenai City Council

t
Senate effectively kills restrictive transgender sports bill

Bipartisan group of senators votes to table controversial bill

Sen. Bert Stedman, R-Sitka, chair of the bicameral conference committee tasked with hammering out differences in the state’s budget bill, signs the committee report as members finished their work on Tuesday, May 17, 2022. (Peter Segall / Juneau Empire
Committee compromises on PFD in budget plan

Members of the conference committee agreed Tuesday to a payment of about $3,800

Most Read