Federal agency greenlights what would be largest LNG terminal in U.S. although uncertainties surround the completion timeline due, to a pause on such projects.
The federal commission has given the greenlight to what could become the nation’s largest liquefied natural gas (LNG) export terminal although uncertainties surround the completion timeline due, to a pause on such projects by the Biden administration this year.
Venture Global’s Calcasieu Pass 2 project in southwest Louisiana, known as CP2 received approval from the Federal Energy Regulatory Commission on Thursday. However the project still awaits Department of Energy approval. Faces immediate prospects amid the pause that has been in effect since earlier this year.
While the 2-1 vote by FERC to approve the $10B nation’s largest LNG project in Cameron Parish, Louisiana does not guarantee that developer Venture Global will commence construction on the methane export facility away it marks a milestone for the company.
According to Venture Global CEO Mike Sabel this project is crucial for energy security. Supporting the transition towards sustainable energy sources while also contributing to job creation and economic growth in Louisiana and, across the United States.
According to the Department of Energy (DOE) “The US is currently the largest exporter of LNG globally. Is projected to maintain this position throughout this decade with a substantial lead based on existing operational or, under construction export capacities following final investment decisions.” “Disregarding the Biden administrations halt on LNG project’s approvals as highlighted by Breon Robinson, a community organizer, from southwest Texas raises concerns about the health and environmental risks associated with expanding methane export facilities in the U.S. Living near several LNG plants in Lake Charles, Louisiana Robinson emphasizes the importance of assessing these risks.
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It is anticipated that advocates will take action following FERCs approval.
“We’re prepared and eager to pursue action ” stated Roishetta Ozane, who leads The Vessel Project, in Louisiana an organization focused on mutual aid, disaster relief and environmental justice. Ozane brought a group of community members and opponents to the FERC meeting.
For activists and fishermen along the Gulf Coast the decision represents a setback for both the community and climate change efforts. The largest LNG project in US, CP2 has been criticized as a “carbon mega bomb” by some environmentalists.
The proposed terminal is set to be situated in a 60 mile area that already hosts nine facilities at planning or operational stages. Overall there are 17 export terminals along the Gulf Coast that’re either operational, under construction or approved.
In response to LNG projects pause in the US initiated by the Biden administration in January to evaluate export impacts further approvals for terminals like Calcasieu Pass 2 were put on hold along with 16 proposed facilities. The administration aims to review whether exporting to free trade agreement countries like Germany and Japan aligns with public interests since these nations are significant buyers of CP2s output.
The latest Department of Energy study predates the surge, in fuel production that led the U.S. making the nation the LNG exporter in 2023. Despite this growth FERC. A body composed of appointed members confirmed by the Senate. Has yet to turn down an LNG terminal proposal.”
Venture Global has been seeking FERC approval for its application dating two and a half years since February.
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