Exxon Mobil has withdrawn an offer to sell two initial cargoes of liquefied natural gas from its Golden Pass export plant in Texas that's been in the process of starting up operations, two people familiar with the decision said on Thursday.
The sources did not give a reason for the withdrawal, but the plant has been running at around a third of its capacity since it began production late last month, according to data from financial firm LSEG.
Golden Pass, a joint venture between Exxon and QatarEnergy, took in about 287 million cubic feet per day of natural gas on Thursday to be liquefied for export, LSEG data showed.
The plant’s first train has a nameplate capacity of 800 mcfd.
LNG producers and traders typically offer cargoes to potential buyers during the commissioning phase, when plants are tested to ensure they are operating as designed.
The company had been expected to load its first cargo for export later this month.
Exxon declined to comment, and Golden Pass did not immediately reply to a request for more information.
QatarEnergy holds a 70 per cent stake in the $10 billion project, while Exxon owns 30 per cent.
LNG cargoes produced at the facility are owned by the two companies, which do not have long-term customers for the volumes.
The facility's first production unit, Train 1, will add six million tonnes per annum of LNG capacity. Based on equity ownership, QatarEnergy will receive just over four mtpa and Exxon just under two mtpa, Exxon has previously said.
The LNG carrier HL Sea Eagle, chartered by Exxon, was in the Gulf of Mexico on Thursday and signalling it was heading to Golden Pass, according to LSEG ship-tracking data.
The Golden Pass project has faced delays and cost overruns since construction began in 2019, including the bankruptcy of its original lead contractor. The company said on March 30 it had produced its first LNG.
Golden Pass has yet to export any LNG.
(Reporting by Curtis Williams in Houston and Marwa Rashad in London; Editing by Nathan Crooks and Nick Zieminski)
