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Second Louisiana LNG facility gets DOE export approval

DNR Secretary Scott Angelle notes progress

BATON ROUGE – Today, Louisiana Department of Natural Resources (DNR) Secretary Scott Angelle congratulated the partner companies of Lake Charles Exports LLC, for success in gaining the first federal approval needed in preparation to expand its Lake Charles Liquefied Natural Gas (LNG) import operation to allow for the export of natural gas.

“The approval of the first step of the Lake Charles Exports plan is a positive sign for the continued development of domestic natural gas production, including our own Haynesville Shale,” Angelle said.

“With two operations in Southwest Louisiana poised to lead the way as major export points for natural gas and continued strong production of natural gas in Northwest Louisiana, we are coming closer to seeing a ‘Northwest-Southwest Louisiana Global Expressway’ for natural gas becoming a reality – bringing with it job creation opportunities and new revenues for state and local government,” he added.

The U.S. Department of Energy (DOE) recently granted Lake Charles Exports, a subsidiary of Southern Union and BG Group, authorization to export up to 2 billion cubic feet of domestically produced natural gas a day to nations in which natural gas is covered by free trade agreements with the U.S.

DOE is still considering Lake Charles Exports’ request for allowing export to countries that are not covered by free trade agreements, but not otherwise prohibited for trade.

Earlier this year, Cheniere Energy Partners announced that its subsidiary, Sabine Pass Liquefaction LLC, received DOE approval on its request to export LNG from its Cameron Parish site to nations not covered by free trade agreements, after DOE had approved exportation to U.S. free trade partners in 2010. Cheniere’s application to the Federal Energy Regulatory Commission for approval to build out liquefaction capacity is currently under review.