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DOE Says Sabine Pass Can Export More LNG to Non-FTA Countries

The Department of Energy (DOE) has issued a final authorization for Sabine Pass Liquefaction LLC (SPL) to export additional volumes of domestically produced liquefied natural gas (LNG) to countries that do not have free trade agreements (FTA) with the United States.

In an order issued Friday [13-30 LNG, 13-42-LNG and 13-121-LNG], DOE said the Sabine Pass LNG Terminal, located in Cameron Parish, LA, is now authorized to export additional volumes of LNG, up to the equivalent of 1.38 Bcf/d of natural gas, for a period of 20 years. The additional exports are to coincide with the completion of Trains 5 and 6 at the facility.

It was the second time SPL has received DOE approval to export domestically produced LNG to non-FTA countries. In August 2012, SPL received permission to export LNG volumes equating to 2.2 Bcf/d, over a period of 20 years, to non-FTA countries [10-111-LNG]. The exports were to coincide with the completion of Trains 1-4 at the facility (see Daily GPIAug. 13, 2012).

SPL has already received five DOE orders authorizing domestically produced LNG exports to FTA countries. The first, awarded in September 2010, allowed 2.2 Bcf/d over a 30-year period using Trains 1-4 at Sabine Pass [10-85-LNG]. Two more orders followed in July 2013, allowing 276.7 MMcf/d and 241.9 MMcf/d through 20-year agreements with Total Gas & Power North America [13-30-LNG] and Centrica plc [13-42-LNG], respectively.

DOE awarded two more authorizations in 2014 and 2015, for exports totaling 860.3 MMcf/d for 20 years [13-121-LNG] and 556.2 MMcf/d for 25 years [14-92-LNG], respectively. SPL is now authorized to export 4.14 Bcf/d to FTA countries, and 3.58 Bcf/d to non-FTA countries, from Sabine Pass.

SPL is an indirect subsidiary of Cheniere Partners LP, which is majority owned by Cheniere Energy Inc.

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