Elba Liquefaction Project & EEC Modification Project

Elba Liquefaction Company, L.L.C. (ELC) and Southern LNG Company, L.L.C. (SLNG) are constructing a two-phased project called the Elba Liquefaction Project, which will add liquefaction and export capability to SLNG’s existing liquefied natural gas (LNG) terminal located at Elba Island in Chatham County, Georgia (Elba Terminal). Construction began on November 1, 2016 on the approximately $2 billion project.

ELC is a Delaware limited liability company formed by Southern Liquefaction Company, LLC, a Delaware limited liability company, and a unit of Kinder Morgan.

On June 1, 2016, the FERC granted the project authorizations under Sections 3 and 7 of the Natural Gas Act (see press releases).

Kinder Morgan continues to make good progress on the commissioning and start-up process of its Elba Liquefaction Project. At this time, units one through six are in service. The remaining four units are expected to be placed in service during the spring and summer of 2020. Upon in service of the first unit, 70 percent of the revenue associated with this project was recognized.

On Feb. 28, 2017, Kinder Morgan, Inc. announced that investment funds managed by EIG Global Energy Partners (EIG) have become a 49 percent joint venture participant in Elba Liquefaction Company, L.L.C. (ELC) which will own 10 liquefaction units and other ancillary equipment to be constructed as part of the Elba Liquefaction Project at Kinder Morgan’s existing Southern LNG Company, L.L.C. Elba Island LNG facility near Savannah, Georgia (see press releases).

In 2012, the project received authorization from the Department of Energy to export to Free Trade Agreement (FTA) countries. An application to export to non-FTA countries was approved on December 16, 2016. Under full development, the Elba Liquefaction Project is expected to have a total capacity of approximately 2.5 million tonnes per year of LNG for export, which is equivalent to approximately 350,000 Mcf per day of natural gas.

The project was first announced in January 2013 by Southern Liquefaction Company, LLC, a unit of Kinder Morgan, and Shell to add liquefaction and export capability to Southern LNG Company, L.L.C.’s existing liquefied natural gas regasification terminal at Elba Island in Chatham County, Georgia. On July 15, 2015, Kinder Morgan and Shell announced that they reached an agreement for Kinder Morgan to purchase 100 percent of Shell’s equity interest in Elba Liquefaction Company, LLC (ELC). Prior to the announcement, Kinder Morgan owned 51 percent of the ELC joint venture and Shell owned the remaining 49 percent (see press releases).

Shell continues to subscribe to 100 percent of the liquefaction capacity.

Project Technology - MMLS

Moveable Modular Liquefaction System (MMLS)
  • Innovative and flexible small-scale liquefaction plant, that cools natural gas to the point that it becomes a liquid-commonly known as liquefied natural gas or LNG.
  • Stringent safety standards and assurance processes.
  • Multiple controls throughout design, permitting, construction and on-going operations.
  • MMLS combines Shell's tradition of innovation and technology advances with design flexibility that enables construction within the existing site at Elba Island plant.