The Jacksonville City Council granted Eagle LNG Partners LLC, located in Houston, a one-year extension to begin work on its projected $542 million liquefied natural gas export facility in North Jacksonville. Eagle LNG deadline to begin construction was extended from May 31 this year to May 31, 2022, by a 17-0 decision of the Council.
The contract is contingent on a $23 million local incentive. As part of its consent agenda on May 25, the Council passed Ordinance 2021-0241, which authorizes the extension. Coronavirus-related border closures in the various Caribbean and Central American countries during the last year. Quarantine restrictions prevented Eagle from concluding customer contracts with the government-owned and commercial utility firms that would receive LNG shipment from Jacksonville, according to an Eagle executive on April 22.
Eagle LNG will have until December 31, 2025, to build the 200-acre facility at 1632 Zoo Parkway near the St. Johns River, which will create 12 new full-time employment. According to a legislative summary submitted with the measure, Council voted in December 2019 to award Eagle LNG a Recapture Enhanced Value Grant of up to $23 million, based on 50 percent of the incremental increase in ad valorem taxes.
Eagle’s investment outside of the United States might be roughly double that of its Jacksonville plans. In November 2019, Eagle’s president, Sean Lalani, stated that the company is willing to spend up to $1 billion on receiving infrastructure in unnamed Central American and Caribbean island states.
According to business executives, Eagle’s North Jacksonville facility will use lower-volume LNG carrier ships to target small, underdeveloped markets that require less gas than utilities in Asian, North American, and European countries.