Sengkang LNG Terminal

From Global Energy Monitor
This article is part of the Global Fossil Infrastructure Tracker, a project of Global Energy Monitor.
Sub-articles:

Sengkang LNG Terminal is a proposed liquefied natural gas (LNG) export terminal in Indonesia. Construction has begun on the first train, but it is still is considered shelved because progress has been stalled for years.[1]

Location

Loading map...

Project details

Train 1

  • Operator: PT South Sulawesi LNG[2]
  • Owner: Energy World Corporation[3]
  • Parent company: Energy World Corporation[3]
  • Location: South Sulawesi coastline, Sulawesi, Indonesia
  • Coordinates: -4.5459732, 120.4136867 (approximate)
  • Capacity: 0.5 mtpa[3]
  • Status: Shelved
    • Formerly Construction[4]
  • Type: Export[3]
  • Start Year: 2023[5][2]
    • Formerly 2022[6]

Note: mtpa = million tonnes per year; bcfd = billion cubic feet per day

Expansion projects

Train 2-4

  • Operator: PT South Sulawesi LNG[2]
  • Owner: Energy World Corporation[3]
  • Parent company: Energy World Corporation[3]
  • Location: South Sulawesi coastline, Sulawesi, Indonesia
  • Coordinates: -4.5459732, 120.4136867 (approximate)
  • Capacity: 1.5 mtpa (0.5 mtpa per train)[3]
  • Status: Shelved
  • Type: Export[3]
  • Start Year: 2023[5][2]
    • Formerly 2022[6]

Background

Energy World is developing an LNG facility on the South Sulawesi coast near its Sengkang contract area and a 315MW gas power plant. It would have capacity of 2 million tonnes per annum.[7]

The expected date of commercial operation (2017) is uncertain because of "usual construction risks for the outstanding construction programme and country risk in relation to the legal, regulatory and physical environment of Indonesia."[8]

In November 2018 construction was reported to be 80% complete.[9]

As of February 2020, there have been no updates since 2018 and the project is presumed to remain under construction.

In February 2021 it was reported that, after resolving a land issue related to the project over the last four years, Energy World was planning to restart development of the nearly complete project.[10]

In February 2023, the U.S. Energy Information Administration reported that only the first train was under construction.[4]

Construction progress appears to be stalled, despite the developers' statements that the project is being built. A 2023 report from Energy World describes the state of construction, including that "This project is well advanced with key equipment, including four cold-boxes, compressors, and ancillary equipment already on site. The LNG storage tank has been fully slipformed and is now subject to fit out. Jetty works have been finalised and loading arms have been installed. The interconnecting pipework and the installation of the control and instrumentation systems are being completed."[11] However, nearly identical language has been used in each of the company's reports for at least the past eight years. As of July 2024, the project is considered shelved rather than in construction.

Articles and resources

References

  1. IGU. 2023 World LNG Report. July 2023.
  2. 2.0 2.1 2.2 2.3 Energy World Corporation LTD. (2022). "Annual Report 2022" (PDF). asx.com.au.{{cite web}}: CS1 maint: url-status (link)
  3. 3.0 3.1 3.2 3.3 3.4 3.5 3.6 3.7 Chee Yew Cheang, EWC Expects Sengkang LNG Project in Sulawesi to Start-up Later This Year , Rigzone, March 2, 2015
  4. 4.0 4.1 "Natural Gas Weekly Update". www.eia.gov. Retrieved 2023-10-11.
  5. 5.0 5.1 "Natural Gas Weekly Update". www.eia.gov. Retrieved 2023-02-03.
  6. 6.0 6.1 BloombergNEF LNG Export and Import Projects--Q4 2020, BloombergNEF, January 21, 2021
  7. Energy project in Indonesia EnergyWorld website, accessed April 2017
  8. Indonesia: EWC Updates on Sengkang LNG Project LNG World News, 20 August 2012
  9. EWC edges forward with its red-tape hampered LNG projects, LNG World News, Nov. 29, 2018
  10. EWC aims to revive its 2 Mt/year Sengkang LNG export project in Indonesia, Enerdata, Feb. 12, 2021
  11. Energy World. 2023 Annual Report. 2023.