Eversheds Sutherland LNG Law Blog
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Attorneys General from 16 States Oppose Proposal to Authorize Shipping LNG by Rail

Reuters reports that attorneys general from 16 U.S. states, including California, Maryland and New York, have filed comments with the Department of Transportation’s Pipeline and Hazardous Materials Safety Administration opposing a Trump administration proposal to authorize shipments of LNG by rail, “arguing that potential leaks from the shipments pose risks of fiery explosions to residents and emergency...
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FERC Authorizes Exports from Elba Island Unit 4

FERC has issued an order authorizing Kinder Morgan affiliates Elba Liquefaction Company, L.L.C. and Southern LNG Company, L.L.C. to commence service for liquefaction and LNG export activities from the Moveable Modular Liquefaction System No. 4 at Kinder Morgan’s Elba Island terminal near Savannah, Ga.  
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DOE Responds to Comments on Updated LNG Greenhouse Gas Report

The U.S. Department of Energy (“DOE”) has released its response to public comments on its September 19, 2019 report Life Cycle Greenhouse Gas Perspective on Exporting Liquefied Natural Gas from the United States: 2019 Update (“LCA GHG Update”). DOE’s response concludes that the “LCA GHG Update, combined with the observation that many LNG-importing nations rely heavily on fossil fuels for electric generation, suggest that exports of U.S. LNG may decrease global GHG emissions, although there is substantial uncertainty on this point. . . . Further, based on the evidence, we see no reason to...
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Cameron LNG Begins Production at Train 2

Cameron LNG has begun producing LNG from the second liquefaction train at its export facility in Hackberry, La. According to the press release, Train 2 and Train 3 are expected to commence commercial operations under Cameron LNG’s tolling agreements in the first and third quarter of 2020, respectively. Train 1 started commercial operation in August 2019. Cameron LNG is jointly owned by affiliates of Sempra LNG, Total, Mitsui & Co., Ltd., and Japan LNG Investment, LLC, a company jointly owned by Mitsubishi Corporation and Nippon Yusen Kabushiki Kaisha (NYK). Sempra Energy indirectly owns...
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Sempra LNG and Aramco Services Company Sign Interim Project Participation Agreement For Port Arthur LNG

Sempra Energy and Saudi Aramco have announced that their respective subsidiaries, Sempra LNG and Aramco Services Company, have signed an Interim Project Participation Agreement (IPPA) for the Port Arthur LNG export project under development in Jefferson County, Texas. According to the press release, the “IPPA represents another milestone for both companies after having signed a heads of agreement in May last year for the purchase of 5 million tonnes per annum (Mtpa) of [LNG] and a 25% equity investment in the Port Arthur LNG project. . . .The definitive agreements in the Port Arthur LNG...
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DOE Releases LNG Export Data Through October 2019

The U.S. Department of Energy (“DOE”) has released data on exports of U.S. domestically produced LNG through October 2019. Highlights from the report include: * Top five countries of destination, representing 68.0% of total U.S. LNG exports in October 2019 – South Korea (42.2 Bcf), United Kingdom (26.3 Bcf), Japan (24.5 Bcf), France (14.2 Bcf), and Spain (13.7 Bcf) * 177.8 Bcf of exports in October 2019 – 11.0% increase over September 2019 – 97.9% more than October 2018 * 52 cargoes shipped in October 2019 – Sabine Pass (32), Corpus Christi (12), Cameron (3),...
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FERC Grants Golden Pass LNG 7-Year Extension to Complete Construction

FERC has issued an order granting Golden Pass LNG Terminal LLC (“Golden Pass”) an extension of time, from December 21, 2019 to November 30, 2026, to complete the construction of its proposed liquefaction and LNG export terminal in Jefferson County, Texas, and make it available for service. In its extension request, Golden Pass stated that “due to delays in obtaining the necessary authorizations both from the Commission as well as the DOE [Office of Fossil Energy], and the resulting uncertainty,” additional time was needed “to enable Golden Pass LNG to enter into the necessary commercial...
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