Photo by: Jon Shapley/Staff photographer
A massive gas liquefaction plant under construction in East Texas hummed with the activities of more than 6,000 workers last month before a dispute between the Golden Pass project and lead contractor Zachry Industrial prompted thousands of layoffs.
The Sabine Pass site is now "eerily vacant," according to an emergency motion filed last week by Golden Pass as part of Zachry's bankruptcy proceedings. Golden Pass has asked the court to force Zachry out of its engineering and construction contract, under which Zachry agreed to build the plant for a fixed $9.25 billion in 2019.
The Golden Pass LNG project, owned by Exxon Mobil and Qatar Petroleum, said that it aims to return workers to the site and move forward with construction. To do so, it said it needs the court to move Zachry aside so that the functions of a lead engineering, procurement and construction firm can be performed by someone else.
San Antonio-based Zachry has said it was forced to file for bankruptcy protection and lay off thousands of workers after it absorbed "staggering costs" at Golden Pass related to supply chain challenges that have spiraled since the start of the pandemic. Zachry said in a statement that it hasn't walked away from a project in its 100-year history and has no plan to do so at Golden Pass.
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