Shell has backed out of an equity interest in the proposed Lake Charles LNG project in Louisiana, citing market conditions.
Lake Charles LNG is a planned 50/50 project between Shell and Energy Transfer, a Dallas-based company engaged in natural gas and propane pipeline transport. The project seeks to convert Energy Transfer's existing import terminal to an LNG export facility in Lake Charles, La.
Following Shell’s recent announcement, Energy Transfer will take over as the project developer. Shell said it will continue to support Energy Transfer with the ongoing bidding process for the engineering, procurement, and construction contract and then plan a phased handover of the project's remaining activities.
Shell said it entered the project in 2016, when it acquired British multinational oil and gas company BG Group for $70 billion. The project has a proposed liquefaction capacity of 16.45 million tons per year for U.S. natural gas export to global customers. Th
