Engineering, Procurement and Construction Contract For Mexico LNG Receipt Terminal

abarrelfullabarrelfull wrote on 04 May 2012 09:28
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February 4, 2005

A Black & Veatch-led consortium (BMVT) comprised of Mitsubishi Heavy Industries, Ltd. (MHI), Vinci Construction Grands Projets of France and Techint SA de CV of Mexico announced that it has been awarded the approximately $500 million engineer, procure, construct (EPC) contract for Sempra LNG, a subsidiary of Sempra Energy, at its Energia Costa Azul LNG receipt terminal located 14 miles north of Ensenada, Mexico. The consortium, referred to as BMVT, was awarded the EPC contract due to the strengths of each of the partners.

"Consumption of LNG is expanding sharply today as a result of increased global demand for natural gas, and improved LNG production and transportation economics," said Black & Veatch Vice President of LNG Technology Brian Price."This increasing demand is driving plans for construction of LNG terminals worldwide. In Mexico, plans to construct new LNG receipt terminals are also going forward in conjunction with the country's aim to diversify its energy resources."

The large-scale LNG receipt terminal will encompass an LNG jetty, unloading facilities, LNG storage tanks and regasification facilities. The terminal, which is the first to be located along the Pacific coast of the Americas, will be capable of receiving 7.6 million tons of LNG per year and processing one billion cubic feet of natural gas per day. The contract calls for construction of two above-ground LNG tanks each having a storage capacity of 160,000 cubic meters.

LNG will be imported from LNG loading terminals in Sakhalin, Russia, and Tangguh, Indonesia. When completed in 2008, the terminal will supply gas for power generation and household use throughout Baja California, enabling Mexico to become self-reliant in those areas. Currently, the country has had to import natural gas from the United States.

Black & Veatch and Techint SA de CV will undertake terminal design and construction work, including LNG regasification and LNG unloading facilities. MHI and Vinci Construction Grands Projets will be responsible for construction of the LNG storage tanks.


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