Downeast LNG proposes to construct and operate a liquefied natural gas (LNG) import terminal on the banks of the Passamaquoddy Bay on land in the Town of Robbinston, Maine. The project will provide much needed additional natural gas supplies to meet increasing demand in the Northeast region of the United States.
The project has a design capacity of 500 mmcfd throughput and peak capacity of 625 mmcfd. It will serve a market that is expected to have a growing supply/demand gap of 1 bcfd by 2015, with sustained moderate to high prices.
The project is needed because most existing transmission pipelines to New England are at full capacity during peak periods, and Canadian and offshore LNG projects cannot fill the supply gap due to market growth and the need for firm, land-based LNG storage.
An LNG terminal in the Northeast that is properly sized to take advantage of market demand, pipeline system capacity, and supply availability can succeed, plus a Maine-based terminal will be more price competitive than Canadian terminals.
Therefore, our rationale for the project has always been that an LNG site that is properly located, features a simple design with minimal environmental footprint, maximizes the economic potential of the market, and helps create sustainable economic development for its host community can be a great success.
The Downeast LNG project meets all of these criteria.