Offshore Staff

(US, GoM) - ConocoPhillips has withdrawn its application for a license under the federal Deepwater Port Act for its Compass Port LNG project that had been proposed for installation approximately 11 mi off the Alabama coast.

The operator elected to withdraw its application after environmental concerns over use of open loop vaporization technology could not be sufficiently addressed.

According to Sig Cornelius, president of ConocoPhillips, "Over the past two years, ConocoPhillips has worked closely with the offices of Alabama Governor, Bob Riley and Mississippi Governor, Haley Barbour and several federal agencies to address the issues associated with the application of open loop vaporization technology."

"It is clear that Governor Riley still has environmental concerns despite the independent scientific studies predicting minimal impact," he adds.

At the Governor's request, ConocoPhillips will begin evaluating the possible use of a closed loop warming system as an alternative.

The operator says it will complete its current work program with the Dauphin Island Sea Lab and the Mississippi Gulf Coast Research Lab.

06/09/06