Venture Global LNG has filed a lawsuit against construction contractor Kiewit, accusing it of sharing confidential documents with Shell, sparking a major legal dispute.
Allegations of Confidentiality Breach
Venture Global LNG has initiated legal action against its construction contractor, Kiewit, alleging the unauthorized disclosure of confidential documents to Shell Plc. The lawsuit, filed in the New York State Supreme Court, centers around the Calcasieu Pass plant, a focal point of ongoing disputes involving major energy companies such as BP Plc and Shell over access to LNG.
According to the filing, Venture Global entrusted Kiewit with proprietary project development, design, and configuration methods essential for constructing a natural gas liquefaction and export terminal in Cameron Parish, Louisiana. The confidential information allegedly shared includes thousands of pages detailing the multi-billion-dollar facility’s design and construction.
“Kiewit admits that it disclosed thousands of pages of confidential information to Shell and its project manager for the facility has been speaking directly with Shell about the project,” the filing stated.
Arbitration and Responses
Venture Global plans to seek an award in arbitration to prevent further disclosure of its confidential information. The company also expressed disappointment with Shell, accusing it of soliciting the disclosure. “We are equally disappointed by Shell who appears to have solicited this disclosure,” Venture Global said in a statement to Reuters.
A spokesperson for Kiewit confirmed the company is “reviewing and evaluating this legal matter.” Shell did not respond to Reuters’ request for comment.
The Arlington, Virginia-based Venture Global LNG has faced operational challenges at its Calcasieu Pass plant. Although the plant has been producing and shipping LNG for over two years, it has not supplied contract customers, citing that the facility is not yet fully operational.
In June, the Federal Energy Regulatory Commission (FERC) ordered Venture Global to provide customers with documents detailing the mechanical issues and startup processes at the Louisiana plant. Earlier in January, BP and Shell urged FERC to compel Venture Global to release these documents, describing the delay in commercial operations as “unprecedented and inexplicable.”
This lawsuit adds another layer of complexity to the ongoing disputes surrounding the Calcasieu Pass plant, highlighting the high stakes and intense competition in the LNG sector.
Source: Reuters
