By OGJ editors - HOUSTON, Jan. 3 -- ExxonMobil Corp. plans to seek regulatory approval for BlueOcean Energy, a floating LNG receiving terminal that will help boost natural gas supplies to New Jersey and New York.
The project, estimated to cost more than $1 billion, will have the capacity to supply 1.2 bcfd. The terminal is expected to be moored in 150 ft of water about 30 miles off Long Island. The terminal would be away from shipping lanes, ports, and recreational areas.
With several years required for permitting, engineering, and construction, BlueOcean Energy is expected to begin service around 2015.
Plans call for a subsea pipeline to deliver gas to New Jersey and New York markets. No pipeline route has been selected, although initial plans involve a crossing in New Jersey's Raritan Bay.
The floating terminal is designed to receive LNG supplies from double-hulled LNG vessels about twice a week. The LNG will be stored inside insulated tanks within the terminal's double hull.
BlueOcean Energy is at the start of a lengthy, rigorous permitting process involving state and federal agencies and the public. The US Maritime Administration and the US Coast Guard are the agencies that review terminal plans under the Deepwater Port Act.
In addition to BlueOcean Energy, ExxonMobil is involved in three other terminal projects. Receiving terminals are under construction near Sabine Pass, Tex.; in Wales; and in the Adriatic Sea off Italy.
BlueOcean Energy has commissioned former New Jersey Atty. Gen. John Farmer, a security expert and senior counsel to the 911 Commission, to conduct a safety and security assessment of the proposed facility.
- source