Eversheds Sutherland LNG Law Blog
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Shell Plans Exit From Proposed Lake Charles LNG Export Project

Shell announced that “[g]iven current market conditions . . . it will not proceed with an equity interest in the proposed Lake Charles LNG [export] project.” Energy Transfer will take over as the project developer. The press release states that “Lake Charles LNG is a proposed 50/50 project between Shell and Energy Transfer that seeks to convert Energy Transfer’s existing import terminal to an LNG export facility in Lake Charles, La. The project has a proposed liquefaction capacity of 16.45 mtpa for US natural gas export to global customers. According to a Reuters article,...
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FERC Issues Order Authorizing Jordan Cove LNG Project

FERC has issued an order authorizing Jordan Cove Energy Project L.P. (Jordan Cove) to site, construct, and operate a new LNG export terminal and associated facilities in Coos County, Ore., and an interconnected 229-mile feeder pipeline. FERC’s authorization of the project was split, with Commissioner Glick stating his dissent was made “because it violates both the Natural Gas Act (NGA) and the National Environmental Policy Act (NEPA)” by not, among other things, “assess[ing] whether the impact of the Project’s greenhouse gas (GHG) emissions on climate change is significant.”  Commissioner...
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FERC Releases Final EIS for Alaska LNG Project

FERC has released the final environmental impact statement (EIS) for the Alaska LNG Project (Project) proposed by the Alaska Gasline Development Corporation (AGDC). AGDC is seeking authorization to construct and operate new gas treatment facilities, an 806.9-mile-long natural gas pipeline and a 20 million-metric-ton per annum liquefaction facility. The Project would commercialize natural gas from Alaska’s North Slope and have an annual average inlet design capacity of up to 3.7 Bcf/day and a 3.9 Bcf/day peak day capacity. FERC staff concluded that approval of the Project would result in a...
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Freeport LNG Authorized to Commission Train 3, Place Dock 2 Into Service

FERC has issued a letter order authorizing Freeport LNG to commission and introduce hazardous fluids to Train 3 and associated utility systems at its liquefaction and LNG export terminal on Quintana Island, Texas. FERC also issued a letter order authorizing Freeport LNG to place Dock 2 at the liquefaction facility in service....
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Port Arthur LNG Files FERC Application for Expansion

Port Arthur LNG Phase II, LLC and PALNG Common Facilities Company have filed an application with FERC for authorization to construct and operate an Expansion Project at the proposed Port Arthur LNG terminal in Port Arthur, Texas. The Expansion Project will include two liquefaction trains (Train 3 and Train 4), which are identical to the trains (Train 1 and Train 2) previously approved by FERC. Each of the two incremental liquefaction trains will be capable of producing under optimal conditions 6.73 million tonnes per annum (“MTPA”) or approximately 13.5 MTPA in the aggregate....
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FERC Authorizes Exports From Elba Island Unit 5

FERC has issued a letter order authorizing commencement of service for liquefaction and export activities from the Moveable Modular Liquefaction System No. 5 at Kinder Morgan’s Elba Island terminal near Savannah, Ga.  
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Sempra Expected to Make FIDs on Costa Azul and Port Arthur LNG Projects This Year

Reuters reports that Sempra Energy (Sempra) is expected to make final investment decisions (FIDs) this year on the proposed Costa Azul LNG export plant in Baja California, Mexico in Q1 2020, and the proposed Port Arthur LNG liquefaction and export terminal in Port Arthur, Texas in Q3 2020. According to the report, Energia Costa Azul LNG has non-binding 20-year agreements with units of Total SA of France and Mitsui & Co and Tokyo Gas Co Ltd of Japan to buy about 0.8 million tonnes per annum (MTPA) of LNG each. Port Arthur LNG is working on agreements with units of Saudi Arabian Oil Co for...
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