Governor backs off of L.B. LNG

After stating clearly that California needs new sources of natural gas when supporting the Cabrillo Port LNG terminal project, Governor Schwarzenegger is thinking twice before putting a liquefied natural gas facility in the heart of Long Beach.

California needs liquefied natural gas, Gov. Arnold Schwarzenegger said Monday, but study and public input are needed before deciding on a location for a receiving terminal in the state.

In an interview with the Press-Telegram, Schwarzenegger was asked about a proposal for a $450 million LNG terminal at the Port of Long Beach that would receive tankers filled with a supercooled form of gas. The proposal by Sound Energy Solutions, a subsidiary of Mitsubishi Corp. and ConocoPhillips, is the only one in the state so far that calls for an on-shore facility.

Schwarzenegger said further study, along with local public input, should determine where such a facility should be built.

"All of that I think would determine should it be in San Diego, should it be in Long Beach, should it be offshore, maybe in Thousand Oaks up there," the Republican governor said. "So I'm not the one that is going to make that decision. I think that in the end we need to see the reports."