DOWNEAST
LNG APPROACH
Corporate
Philosophy
Downeast LNG is committed to an open and honest exchange of
information with area residents. Our approach includes:
- Developing
an LNG project that delivers clean and safe energy to Maine
and New England.
- Working
in partnership with the people of Robbinston and Washington
County to create jobs and promote meaningful and sustainable
economic development.
- Building
a facility that has a minimal impact on the natural environment
and adheres to the highest safety standards in the industry.
Once
the facility is operational, Downeast LNG will provide up
to $500,000 annually to the communities of eastern Washington
County to support economic development.
Corporate
Team
Downeast LNG was founded by Dean Girdis, who serves as its
president and has 17 years of experience in economic and energy
development. Robert Wyatt, vice president of environmental
affairs, is an environmental consultant who has worked on
permitting major projects in 39 states and several foreign
countries. The project's financial backers are Kestrel Energy
Partners, an oil and gas private equity investment firm based
in New York City.
Additional
members, such as a gas supplier and plant operator, will be
added to the team as the project proceeds through the permitting
process, which is expected to take about two years.
For
more information about the corporate team, see About
Us.
The
Need for LNG in New England
New England needs LNG to meet growing gas demand and declining
domestic gas production. Key issues include:
- Sustained
high gas prices due to growing Northeast gas demand.
- Declining
gas production in Canada.
- Gas
pipeline supply constraints.
- Difficulty
in building new gas pipelines.
- Large
quantities of competitively priced gas (LNG) from other
countries.
How
We Chose the Site
Downeast LNG's project proposal included detailed analysis
of possible sites and market needs. We commissioned a Regional
Site Selection (RSS) Study for the development of
an LNG import and storage terminal, a regasification facility,
and a natural gas pipeline connector line to provide the New
England market with a domestic natural gas import capability.
Our
RSS study included the examination of 27 prospective sites-some
already proposed for LNG terminal development-in the coastal
environs of Maine, Massachusetts, Rhode Island, and Connecticut.
Our primary criteria for site selection included:
- Community
acceptance and feasibility.
- Marine
technical and environmental issues.
- Land
technical and environmental Issues.
Our
site selection process is unique because, in addition to considering
technical criteria, Downeast LNG placed significant weight
on potential community support for the project. This meant
that although a candidate site might have been technically
superior to all others, if the host and neighboring communities
were overwhelmingly opposed to its development, then the site's
overall ranking would be severely lowered.
Based
on minimal environment impact, community support, and technical
characteristics, we believe that our proposed
site in Robbinston is the best available site.
Gas
from a Maine-Based LNG Facility Will Cost Less Than Canadian
Gas
Downeast LNG completed a detailed market analysis to assess
the competitiveness of an LNG facility in Maine. Natural gas
from a Maine-based LNG facility will provide a lower supply
cost as compared to either Sable Island (Nova Scotia) gas
or LNG imported from Canada. Total gas price savings could
be about 13% on the imported price of LNG. New England gas
and power consumers will save, at a minimum, more than $80
million annually due to lower natural gas prices, and as a
result, lower power prices.
How
Downeast LNG's Approach Differs from That of Other LNG Companies
To meet the regional demand for natural gas, several private
developers have proposed LNG import facilities along the eastern
seaboard of the U.S. These proposals have often met with stiff
local resistance and, ultimately, project failure. Public
comments indicate that many people think the LNG site selection
process has been chaotic.
Downeast
LNG recognizes both the need to import LNG as a supplement
to domestic natural gas resources and the public's right to
expect coordinated and justifiable planning processes. That
is why our project proposal includes the careful examination
of site selection alternatives, market needs analysis, and
a commitment to public involvement and awareness.
We
believe that the success of LNG projects hinges on two key
components:
- A
developer who demonstrates a commitment to the community
and support for local economic development, and
- Active
participation by the community.
More
info:
Regional
Site Selection (RSS) Study
(PDF, 1.2MB)
Downeast
LNG's Corporate Responsibility Statement (PDF,
31K)
Employee
Commitment and Procurement Strategy (PDF, 41K)
Sustainable
Economic Development Plan (PDF, 1.2MB)
FAQs:
"The Gas Market in New England" section (PDF, 801K)
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