The Federal Energy Regulatory Commission on Thursday issued a certificate of approval for a liquefied natural gas (LNG) facility in Oregon, Kallanish Energy reports.
The agency approved the Jordan Cove LNG and the Pacific Connector Gas Pipeline proposed by the Canadian pipeline company, Pembina Pipeline Corp.
The federal approval is “a significant milestone,” the company said in a statement. It is the first LNG project on the West Coast of the United States.
Last month, FERC postponed a decision on Jordan Cove LNG, to be located in Coos Bay, Oregon.
Oregon regulatory agencies have also rejected needed permits for the plant.
The project calls for a 200-acre LNG liquefaction/export terminal and a 229-mile pipeline.
The Pacific Connector Gas Pipeline would run from Malin, Oregon in Klamath County to the export terminal. It would be 36 inches in diameter.
The companies behind the project are the Jordan Cove Energy Project LP and the Pacific Connector Gas Pipeline LP. They are affiliates of Pembina. It took over the Oregon LNG project in 2017.
The facility could liquefy up to 1.04 billion cubic feet of natural gas per day for export to Asia. It would fill about 120 LNG carriers per year.
It could move natural gas from the Rocky Mountain states to overseas markets. It could also serve Alberta so Canadian gas producers are very interested in the Oregon project.
FERC has considered Jordan Cove LNG twice before.
The initial plan by Energy Projects Development Ltd. called for importing LNG at Coos Bay, Oregon, and shipping the gas to Malin, Oregon, a natural gas pipeline hub.
FERC approved the plan in 2009 but changing market conditions doomed that project. The FERC approval was vacated in 2012.
In May 2013, Calgary-based Veresen proposed a pipeline and export terminal at Coos Bay, Oregon, that would produce 7.8 million tons per year of LNG.
But that $10 billion proposal was rejected by FERC in March 2016, claiming the company had failed to demonstrate a need for the facility and that the project would adversely impact neighbors. Pembina then submitted a revised plan.
This post appeared first on Kallanish Energy News.