Gov. Schwarzenegger Denies Cabrillo Port Application

Citing environmental concerns, California Gov. Arnold Schwarzenegger (R) has denied BHP Billiton’s application to build its Cabrillo Port LNG regasification facility off the coast of Ventura County in southern California. Though the Governor reaffirmed his support for LNG importation projects generally, he stated that as designed, the Cabrillo Port LNG proposal would have adverse consequences for air quality and marine life in the nearby Channel Islands Marine Sanctuary. The full letter is available, courtesy of the LNG Law Blog, and the Governor’s press release and a Los Angeles Times article provide local coverage.

A BHP Billiton spokesperson told Bloomberg News (via International Herald Tribune) that they “respect but are disappointed with the Governor’s decision,” and are in the process of determining the company’s next steps following yet another formal rejection of the Cabrillo Port project.

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