November 14, 2011 / 3:31 PM / 8 years ago

UPDDATE 1-Cheniere in $3.9 bln LNG train deal with Bechtel

* Bechtel to build trains for Sabine Liquefaction plant

* LNG export from Sabine Pass terminal could start in 2015

* Cheniere stock rises 7 percent

Nov 14 (Reuters) - Cheniere Energy Partners L.P.’s subsidiary entered into a contract with engineering company Bechtel Oil, Gas and Chemicals Inc to construct liquefaction trains at the Sabine Pass LNG terminal in Louisiana.

Cheniere’s Sabine Liquefaction is planning to construct liquefaction facilities capable of producing 9.0 million tonnes per year (mtpa) of liquefied natural gas per year in the first phase of its project and selling 7.0 mtpa of the production under long-term sales and purchase agreements.

Under the contract, privately-owned Bechtel will design, construct and commission two liquefaction trains using the ConocoPhillips Optimized Cascade technology, Cheniere said on Monday.

The liquefaction trains will be built next to the existing facilities at the Sabine Pass LNG terminal, which include five tanks with storage capacity of 16.9 billion cubic feet equivalent (Bcfe), two docks that can handle vessels up to 265,000 cubic meters and vaporizers with regasification capacity of 4.0 billion cubic feet per day (Bcf/d).

Construction is expected to begin in 2012 with LNG exports expected as early as 2015. The total contract price is $3.9 billion, with expected costs for the project estimated to be between $4.5 billion and $5.0 billion.

Cheniere stock rose 7 percent to $11.30 in early trading on the American Stock Exchange.

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