Dominion Energy Cove Point has begun producing liquefied natural gas with its newly constructed natural gas liquefaction facility undergoing commissioning in Lusby, Maryland.

The company says that all major equipment has been operated and is being commissioned as expected.

Shell NA LNG is providing the natural gas needed for liquefaction during the commissioning process and will off-take by ship the LNG that is produced.

When commissioning is complete, DECP will produce LNG for ST Cove Point, the joint venture of Sumitomo Corp. and Tokyo Gas, and for GGULL, the U.S. affiliate of GAIL (India) LTD under 20-year take-or-pay contracts. DECP's liquefaction facility has a nameplate capacity of 5.25 mtpa of LNG. The facility is expected to enter commercial service in March 2018.

Construction began in October 2014, following more than three years of federal, state and local permit reviews and approvals. With a cost of $4 billion, it is one of the largest construction projects in Maryland and for Dominion Energy.