BHP Billiton announced today (28 January 2004) that the United States Coast Guard/Maritime Administration has deemed complete the company’s application for the deepwater port licence to construct and operate Cabrillo Port.  Cabrillo Port is the proposed liquefied natural gas (LNG) floating storage and regasification unit (FSRU) that will be located off the coast of Southern California.  The application includes operation of a pipeline connecting this deepwater port to the existing natural gas transportation and distribution infrastructure onshore.  BHP Billiton initially announced plans for Cabrillo Port in August 2003.  

The application for a deepwater port license was submitted to the United States Coast Guard/Maritime Administration on September 3, 2003.  Coinciding with this, an application for a land lease was submitted to the California State Lands Commission (CSLC) for the right to construct an undersea pipeline to the shore to deliver the natural gas to the local utility system.

Acceptance of the application initiates an extensive environmental review process.   As outlined in the Deepwater Port Act, the agencies have 240 days to produce a final joint environmental impact statement/environmental impact report (EIS/EIR).  This includes comprehensive studies that will cover all aspects of constructing and operating the FSRU, including economic, environmental, marine habitat, and public safety issues.  The scope of the environmental analyses must conform to standards set by the National Environmental Protection Act and the California Environmental Quality Act, frequently referred to as “NEPA” and “CEQA”, respectively.

The Coast Guard and CSLC will take the lead agency responsibility, pursuant to federal and state environmental laws, and undertake a joint and cooperative environmental and public review process.  The company’s applications for a deepwater port license and land lease are the first steps in a lengthy process that will include other relevant permit applications, public hearings, and community meetings, in addition to the environmental review.  Following public review and approval, BHP Billiton expects to initiate the fabrication, construction, and installation of necessary facilities to allow for operations to commence by 2008.

More information about Cabrillo Port and BHP Billiton is available at www.LNGsolutions.com or by calling 805-604-2790.

For more information contact:  

Kathi Hann, BHP Billiton: 805 604 2789 (office) or
Patrick Cassidy, BHP Billiton: 713 961 8517 (office); 713 542 2133 (cell)