The plant was still in its development phase with a team of seven people, Annova said. Chicago-based energy company Exelon, the majority owner of Annova, has offered those workers other jobs at the company.
Although the announcement comes in the same month that Annova CEO Omar Khayum left the company, the decision was unrelated and based on "changes in the global LNG market," Annova said.
Annova had not announced any contracts for its LNG in the years since its development. U.S. developers have struggled to sign long-term offtake agreements as the Covid-19 pandemic sputtered deal-making. American projects must also now compete with Qatar, which is offering attractive prices to underpin its plans to boost output by 50 percent this decade.
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Khayum left the company March 15, according to Annova, and his Linkedin profile shows he is now vice president at Canada-based TC Energy.
Khayum did not respond for comment Tuesday.
Annova and two proposed LNG export terminals at the Port of Brownsville have faced stiff opposition from a coalition of shrimpers, fishermen, environmentalists, Native Americans and neighboring communities.
Opponents last year filed comments opposing state and federal permits for the Annova project and the terminals planned by Houston-based NextDecade and Texas LNG. They've also filed federal lawsuits challenging federal permit decisions for the proposed LNG projects. Texas Commission on Environmental Quality officials in April issued a state permit to the controversial project.
Launched in 2013 and headquartered in Houston, Annova LNG is owned by a consortium of four companies. Chicago utility company Exelon owns 80.55 percent while Enbridge, the Canadian pipeline company, holds a 10.5 percent stake. Nebraska engineering, procurement and construction firm Kiewit and Kansas energy technology firm Black & Veatch each own 4.475 percent.
Bloomberg contributed.