Freeport LNG has agreed to pay a $1.5 million fine for violations inspectors found after an explosion at its Texas natural gas export terminal in 2022.
The fiery eruption shut the plant for eight months and cut U.S. natural gas export capacity as European demand surged because of Russia’s invasion of Ukraine. It also raised questions about the safety of the massive liquefied natural gas terminals lining the Gulf Coast as the industry grows, with more than a dozen plants expected to be built in the next five years.
The federal Pipeline and Hazardous Materials Safety Administration hadsought the fine in November, saying an inspection after the blast found four violations of safety rules. A Freeport spokesperson declined to comment.
In a Jan. 17 letter posted Wednesday, Freeport said it had already corrected the violations as part of the settlement of a previous PHMSA order issued after the explosion. In the letter, signed by Freeport General Counsel Shaw Ottis, the company agreed to pay the fine “in an effort to collaboratively progress beyond” the accident.
