Article Discusses Environmental Issues Related to Petronas’ Proposed B.C. LNG Export Terminal

An article in The Globe and Mail discusses environmental issues related to Petronas’ proposed Pacific NorthWest LNG export terminal on Lelu Island, British Columbia (B.C.), including the potential impact of the terminal on the region’s salmon and steelhead trout habitat.

FERC Approves Dominion Cove Point LNG Export Terminal

Yesterday, FERC issued an order approving the construction and operation of Dominion Cove Point LNG’s proposed export terminal project in Lusby, Md. and related facilities.  This is the fourth LNG export terminal project FERC has approved in the lower-48 states.  A Fact Sheet can be found here, FERC’s order can be found here, and the complete docket for the project can be found on eLibrary under Docket No. CP13-113.

Woodfibre LNG and China’s Guangzhou Gas Group Sign Preliminary Offtake Agreement for B.C. LNG Supplies

Reuters reports that Woodfibre LNG (Woodfibre) has signed a preliminary offtake agreement with Chinese gas distributor Guangzhou Gas Group Co. Ltd (Guangzhou) for LNG supplies from Woodfibre’s proposed LNG terminal near Squamish, British Columbia (B.C.).  The article states that under the agreement, Woodfibre will provide 1 million tonnes of LNG per year, approximately half of the LNG facility’s production capacity, to Guangzhou over a 25 year period, starting in 2017.

Oregon Again Delays Coastal Zone Management Act Consistency Review for Another 90 Days

The Oregon Department of Land Conservation and Development (DLCD) and Oregon LNG have entered into an agreement for a further stay until January 28, 2015, of DLCD’s decision under the Coastal Zone Management Act (CZMA) on whether Oregon LNG’s proposed LNG import and export terminal is consistent with Oregon’s Coastal Management Plan. The agreement states that additional stays of CZMA review may occur. The stay agreement can be found here, and the complete FERC docket for the Oregon LNG terminal project can be found on eLibrary under Docket No. CP09-6.

B.C. Discounts Petronas Threat to Call Off LNG Export Terminal

The Globe and Mail reports that Petronas CEO Shamsul Abbas’s statement that he is “ready to call off” the proposed Pacific Northwest LNG export terminal project in British Columbia could be a negotiating tactic, according to Rich Coleman, B.C.’s Minister of Natural Gas Development.  Abbas’s statement was in apparent frustration with the lengthy regulatory approval process, the uncertainty of B.C.’s LNG tax plan, and a “lack of appropriate incentives.”  Minister Coleman stated that he spoke with a Petronas representative today who indicated that talks on the terminal issues were “going fine.”

Pivotal LNG to Sell LNG to Carib Energy for Transport to Puerto Rico

Pivotal LNG, Inc. (“Pivotal”) has announced that it has entered into a long-term agreement to sell LNG to Crowley Maritime Corp. (“Crowley”) subsidiary Carib Energy LLC (“Carib”), for use by Carib’s customers in Puerto Rico.  According to the press release, the LNG would be transported from Pivotal’s facilities via ISO containers loaded onto trucks to Crowley’s waterborne vessels in Jacksonville, Fla., and then delivered via vessel to Carib’s customers in Puerto Rico.

LNG Export Terminal Possible for Galveston

Petro Global News reports that officials from the Port of Galveston, Texas agreed Monday to reserve 185 acres at the port’s Pelican Island site for a proposed $6 billion LNG export facility being planned by Texas-based NextDecade Energy (“NextDecade”). According to the report, NextDecade will pay $100,000 to hold the site for the next six months, subject to extension, while the company undertakes environmental feasibility studies and begins the federal permitting process.  The proposed Galveston LNG export terminal is NextDecade’s second proposed LNG terminal in Texas and would have a yearly LNG production capacity of 6 million tons.

New B.C. LNG Tax Laws to be Unveiled in October

The Globe and Mail reports that British Columbia (B.C.) will unveil its proposed new tax laws for the LNG industry in October, with an anticipated implementation date of November 30, 2014.

Reuters Discusses Asian Utilities’ Sales of U.S. LNG Supplies to Europe

An article by Reuters discusses attempts by Japanese and Indian utilities to divert some of their contracted-for U.S. LNG supplies to Europe amidst the companies’ realizations that their home markets will not be able to absorb the initial influx of LNG supply.  The article also notes that a recent fall in crude oil prices has made LNG supply contracts linked to Henry Hub gas prices less attractive than such contracts linked to crude oil prices, raising concerns that U.S. LNG supplies may not remain a relative bargain.

Magnolia LNG Receives Coast Guard and PHMSA Approvals for LNG Export Terminal

Magnolia LNG announced today that the U.S. Coast Guard has issued a Letter of Recommendation approving the Waterway Suitability Assessment for Magnolia’s proposed LNG export terminal at Lake Charles, La., finding that the Calcasieu Channel waterway was suitable for the proposed LNG marine traffic associated with the project.  Magnolia also announced that the U.S. Department of Transportation’s Pipeline and Hazardous Materials Safety Administration (PHMSA) has issued a letter to FERC stating it had no objections to the Project’s design spill methodology.  The announcement can be found here.