The US Energy Department has conditionally authorized Freeport
LNG Expansion and FLNG Liquefaction LLC
(Freeport) to export domestically produced liquefied natural
gas (LNG) from the Freeport LNG Terminal on Quintana Island,
Texas, to countries that do not have a free trade
agreement (FTA) with the US.
Freeport previously received approval to export LNG from this
facility to FTA countries on February 10, 2011. Subject to
environmental review and final
regulatory approval, the facility is conditionally authorized
to export at a rate of up to 1.4 Bcfd for a period of 20 years.
The Department granted the first authorization to export LNG to
non-FTA countries in May 2011 for the Sabine Pass LNG Terminal
in Cameron Parish, Louisiana, at a rate of up to 2.2
The development of US natural gas resources is having a
transformative impact on the US energy landscape, helping to
improve the country's energy security while spurring economic
development and job creation around the country. This increase
in domestic natural gas production is expected to continue,
with the US Energy Information Administration forecasting a
record production rate of 69.3 Bcfd in 2013.
Federal law generally requires approval of natural gas exports
to countries that have an FTA with the US. For countries that
do not have an FTA with the US, the Natural Gas Act directs the
Department of Energy to grant export authorizations unless the
Department finds that the proposed exports will not be
consistent with the public interest.
The Energy Department conducted an extensive, careful review of
the application to export LNG from the Freeport LNG
Terminal. Among other factors, the Department considered
economic, energy security and environmental impacts. Public
comments for and against the application were also considered.