Freeport LNG Expansion, L.P.; FLNG Liquefaction, LLC; FLNG Liquefaction 2, LLC; and FLNG Liquefaction 3, LLC; Application for Long-Term Authorization To Export Liquefied Natural Gas to Non-Free Trade Agreement Nations
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Issuing agencies
Abstract
The Office of Fossil Energy and Carbon Management (FECM) of the Department of Energy (DOE) gives notice (Notice) of receipt of an Application (Application), filed on September 10, 2021, by Freeport LNG Expansion, L.P.; FLNG Liquefaction, LLC; FLNG Liquefaction 2, LLC; and FLNG Liquefaction 3, LLC (collectively, FLEX). FLEX requests authority to engage in additional long-term, multi-contract exports of domestically produced liquefied natural gas (LNG) in a volume equivalent to 88 billion cubic feet per year (Bcf/yr) of natural gas from the Freeport LNG Liquefaction Project (the Liquefaction Project) at the Freeport LNG Terminal on Quintana Island near Freeport, Texas, to non-free trade agreement countries. FLEX filed the Application under the Natural Gas Act (NGA).
Full Text
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<title>Federal Register, Volume 86 Issue 193 (Friday, October 8, 2021)</title>
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[Federal Register Volume 86, Number 193 (Friday, October 8, 2021)]
[Notices]
[Pages 56258-56260]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-22018]
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DEPARTMENT OF ENERGY
[Docket No. 21-98-LNG]
Freeport LNG Expansion, L.P.; FLNG Liquefaction, LLC; FLNG
Liquefaction 2, LLC; and FLNG Liquefaction 3, LLC; Application for
Long-Term Authorization To Export Liquefied Natural Gas to Non-Free
Trade Agreement Nations
AGENCY: Office of Fossil Energy and Carbon Management, Department of
Energy.
ACTION: Notice of application.
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SUMMARY: The Office of Fossil Energy and Carbon Management (FECM) of
the Department of Energy (DOE) gives notice (Notice) of receipt of an
Application (Application), filed on September 10, 2021, by Freeport LNG
Expansion, L.P.; FLNG Liquefaction, LLC; FLNG Liquefaction 2, LLC; and
FLNG Liquefaction 3, LLC (collectively, FLEX). FLEX requests authority
to engage in additional long-term, multi-contract exports of
domestically produced liquefied natural gas (LNG) in a volume
equivalent to 88 billion cubic feet per year (Bcf/yr) of natural gas
from the Freeport LNG Liquefaction Project (the Liquefaction Project)
at the Freeport LNG Terminal on Quintana Island near Freeport, Texas,
to non-free trade agreement countries. FLEX filed the Application under
the Natural Gas Act (NGA).
DATES: Protests, motions to intervene, or notices of intervention, as
applicable, and written comments are to be filed electronically as
detailed in the Public Comment Procedures section no later than 4:30
p.m., Eastern time, December 7, 2021.
ADDRESSES:
Electronic Filing by email: <a href="/cdn-cgi/l/email-protection#bddbd8cfdadccefdd5cc93d9d2d893dad2cb"><span class="__cf_email__" data-cfemail="1c7a796e7b7d6f5c746d32787379327b736a">[email protected]</span></a>.
Although DOE has routinely accepted public comment submissions
through a variety of mechanisms, including postal mail and hand
delivery/courier, DOE has found it necessary to make temporary
modifications to the comment submission process in light of
[[Page 56259]]
the ongoing Covid-19 pandemic. DOE is currently accepting only
electronic submissions at this time. If a commenter finds that this
change poses an undue hardship, please contact Office of Resource
Sustainability staff at (202) 586-2627 or (202) 586-4749 to discuss the
need for alternative arrangements. Once the Covid-19 pandemic health
emergency is resolved, DOE anticipates resuming all of its regular
options for public comment submission, including postal mail and hand
delivery/courier.
FOR FURTHER INFORMATION CONTACT:
Amy Sweeney or Jennifer Wade, U.S. Department of Energy (FE-34), Office
of Fossil Energy and Carbon Management, \1\ Office of Regulation,
Analysis, and Engagement, Office of Resource Sustainability, Forrestal
Building, Room 3E-042, 1000 Independence Avenue SW, Washington, DC
20585, (202) 586-2627; (202) 586-4749, <a href="/cdn-cgi/l/email-protection#d6b7bbaff8a5a1b3b3b8b3af96bea7f8b2b9b3f8b1b9a0"><span class="__cf_email__" data-cfemail="73121e0a5d000416161d160a331b025d171c165d141c05">[email protected]</span></a> or
<a href="/cdn-cgi/l/email-protection#6309060d0d0a0506114d14020706230b124d070c064d040c15"><span class="__cf_email__" data-cfemail="553f303b3b3c3330277b22343130153d247b313a307b323a23">[email protected]</span></a>
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\1\ The Office of Fossil Energy changed its name to the Office
of Fossil Energy and Carbon Management on July 4, 2021.
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Cassandra Bernstein, U.S. Department of Energy (GC-76), Office of the
Assistant General Counsel for Electricity and Fossil Energy, Forrestal
Building, Room 6D-033, 1000 Independence Avenue SW, Washington, DC
20585, (202) 586-9793, <a href="/cdn-cgi/l/email-protection#d5b6b4a6a6b4bbb1a7b4fbb7b0a7bba6a1b0bcbb95bda4fbb1bab0fbb2baa3"><span class="__cf_email__" data-cfemail="2340425050424d4751420d4146514d5057464a4d634b520d474c460d444c55">[email protected]</span></a>
SUPPLEMENTARY INFORMATION: Currently, in Docket Nos. 10-161-LNG,\2\ 11-
161-LNG,\3\ and 16-108-LNG,\4\ FLEX is authorized to export
domestically produced LNG from the Liquefaction Project in a total
combined volume equivalent to 782 Bcf/yr of natural gas to any country
with which the United States has not entered into a free trade
agreement (FTA) requiring national treatment for trade in natural gas,
and with which trade is not prohibited by U.S. law or policy (non-FTA
countries), through December 31, 2050, pursuant to NGA section 3(a), 15
U.S.C. 717b(a).\5\ In this Application filed in Docket No. 21-98-LNG,
FLEX requests long-term, multi-contract authorization to export LNG in
an additional volume of 88 Bcf/yr from the Liquefaction Project. FLEX
states that this Application, if granted, would increase its non-FTA
exports from the Liquefaction Project from a total of 782 Bcf/yr to 870
Bcf/yr of natural gas.
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\2\ Freeport LNG Expansion, L.P., et al., DOE/FE Order No. 3282-
C, Docket No. 10-161-LNG, Final Opinion and Order Granting Long-Term
Multi-Contract Authorization to Export Liquefied Natural Gas by
Vessel from the Freeport LNG Terminal on Quintana Island, Texas, to
Non-Free Trade Agreement Nations (Nov. 14, 2014), amended by DOE/FE
Order No. 3282-D (Oct. 21, 2020) (extending export term).
\3\ Freeport LNG Expansion, L.P., et al., DOE/FE Order No. 3357-
B, Docket No. 11-161-LNG, Final Opinion and Order Granting Long-Term
Multi-Contract Authorization to Export Liquefied Natural Gas by
Vessel from the Freeport LNG Terminal on Quintana Island, Texas, to
Non-Free Trade Agreement Nations (Nov. 14, 2014), reh'g denied DOE/
FE Order No. 3357-C (Dec. 4, 2015), amended by DOE/FE Order No.
3357-D (Oct. 21, 2020) (extending export term).
\4\ Freeport LNG Expansion, L.P., et al., DOE/FE Order No. 3957,
Docket No. 16-108-LNG, Opinion and Order Granting Long-Term, Multi-
Contract Authorization to Export Liquefied Natural Gas by Vessel
from the Freeport LNG Terminal on Quintana Island, Texas, to Non-
Free Trade Agreement Nations (Dec. 19, 2016), amended by DOE/FE
Order No. 3957-A (Oct. 21, 2020) (extending export term).
\5\ FLEX notes that, in Docket Nos. 10-160-LNG and 12-06-LNG, it
is authorized to export LNG from the Liquefaction Project to FTA
countries in a volume equivalent to 1,022 Bcf/yr of natural gas.
FLEX's FTA exports are not at issue here.
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FLEX further states that, on June 29, 2021, it filed an application
at FERC (FERC Docket No. CP21-470-000) requesting authorization to
increase the Liquefaction Project's authorized maximum LNG production
capacity from 782 Bcf/yr to approximately 870 Bcf/yr. FLEX states the
instant Application seeks to align FLEX's export authority to non-FTA
countries with the liquefaction production capacity requested in its
pending FERC application.
FLEX seeks to export this LNG on its own behalf and as agent for
other entities who hold title to the LNG at the time of export.
Additional details can be found in FLEX's Application, posted on the
DOE website at: <a href="http://www.energy.gov/sites/default/files/2021-09/21-98-LNG.pdf">www.energy.gov/sites/default/files/2021-09/21-98-LNG.pdf</a>.
DOE Evaluation
In reviewing FLEX's Application, DOE will consider any issues
required by law or policy. DOE will consider domestic need for the
natural gas, as well as any other issues determined to be appropriate,
including whether the arrangement is consistent with DOE's policy of
promoting competition in the marketplace by allowing commercial parties
to freely negotiate their own trade arrangements. As part of this
analysis, DOE will consider the study entitled, Macroeconomic Outcomes
of Market Determined Levels of U.S. LNG Exports (2018 LNG Export
Study),\6\ and DOE's response to public comments received on that
Study.\7\
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\6\ See NERA Economic Consulting, Macroeconomic Outcomes of
Market Determined Levels of U.S. LNG Exports (June 7, 2018),
available at: <a href="http://www.energy.gov/sites/prod/files/2018/06/f52/Macroeconomic%20LNG%20Export%20Study%202018.pdf">www.energy.gov/sites/prod/files/2018/06/f52/Macroeconomic%20LNG%20Export%20Study%202018.pdf</a>.
\7\ U.S. Dep't of Energy, Study on Macroeconomic Outcomes of LNG
Exports: Response to Comments Received on Study; Notice of Response
to Comments, 83 FR 67251 (Dec. 28, 2018).
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Additionally, DOE will consider the following environmental
documents:
<bullet> Addendum to Environmental Review Documents Concerning
Exports of Natural Gas From the United States, 79 FR 48132 (Aug. 15,
2014); \8\
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\8\ The Addendum and related documents are available at: <a href="https://energy.gov/fe/draft-addendum-environmental-review-documents-concerning-exports-natural-gas-united-states">https://energy.gov/fe/draft-addendum-environmental-review-documents-concerning-exports-natural-gas-united-states</a>.
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<bullet> Life Cycle Greenhouse Gas Perspective on Exporting
Liquefied Natural Gas From the United States, 79 FR 32260 (June 4,
2014); \9\ and
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\9\ The 2014 Life Cycle Greenhouse Gas Report is available at:
<a href="https://energy.gov/fe/life-cycle-greenhouse-gas-perspective-exporting-liquefied-natural-gas-united-states">https://energy.gov/fe/life-cycle-greenhouse-gas-perspective-exporting-liquefied-natural-gas-united-states</a>.
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<bullet> Life Cycle Greenhouse Gas Perspective on Exporting
Liquefied Natural Gas From the United States: 2019 Update, 84 FR 49278
(Sept. 19, 2019), and DOE's response to public comments received on
that study.\10\
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\10\ U.S. Dep't of Energy, Life Cycle Greenhouse Gas Perspective
on Exporting Liquefied Natural Gas From the United States: 2019
Update--Response to Comments, 85 FR 72 (Jan. 2, 2020). The 2019
Update and related documents are available at: <a href="https://fossil.energy.gov/app/docketindex/docket/index/21">https://fossil.energy.gov/app/docketindex/docket/index/21</a>.
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Parties that may oppose this Application should address these
issues and documents in their comments and protests, as well as other
issues deemed relevant to the Application.
The National Environmental Policy Act (NEPA), 42 U.S.C. 4321 et
seq., requires DOE to give appropriate consideration to the
environmental effects of its proposed decisions. No final decision will
be issued in this proceeding until DOE has met its environmental
responsibilities.
Public Comment Procedures
In response to this Notice, any person may file a protest,
comments, or a motion to intervene or notice of intervention, as
applicable. Interested parties will be provided 60 days from the date
of publication of this Notice in which to submit comments, protests,
motions to intervene, or notices of intervention.
Any person wishing to become a party to the proceeding must file a
motion to intervene or notice of intervention. The filing of comments
or a protest with respect to the Application will not serve to make the
commenter or protestant a party to the proceeding, although protests
and comments received from persons who are not parties will be
considered in determining the
[[Page 56260]]
appropriate action to be taken on the Application. All protests,
comments, motions to intervene, or notices of intervention must meet
the requirements specified by the regulations in 10 CFR part 590.
As noted, DOE is only accepting electronic submissions at this
time. Please email the filing to <a href="/cdn-cgi/l/email-protection#accac9decbcddfecc4dd82c8c3c982cbc3da"><span class="__cf_email__" data-cfemail="ef898a9d888e9caf879ec18b808ac1888099">[email protected]</span></a>. All filings must
include a reference to ``Docket No. 21-98-LNG'' or ``Freeport LNG
Expansion, L.P. et al. Application'' in the title line.
Please Note: Please include all related documents and attachments
(e.g., exhibits) in the original email correspondence. Please do not
include any active hyperlinks or password protection in any of the
documents or attachments related to the filing. All electronic filings
submitted to DOE must follow these guidelines to ensure that all
documents are filed in a timely manner. Any hardcopy filing submitted
greater in length than 50 pages must also include, at the time of the
filing, a digital copy on disk of the entire submission.
The Application and any filed protests, motions to intervene,
notices of interventions, and comments will also be available
electronically by going to the following DOE web address: <a href="https://www.energy.gov/fecm/division-natural-gas-regulation">https://www.energy.gov/fecm/division-natural-gas-regulation</a>.
A decisional record on the Application will be developed through
responses to this Notice by parties, including the parties' written
comments and replies thereto. Additional procedures will be used as
necessary to achieve a complete understanding of the facts and issues.
If an additional procedure is scheduled, notice will be provided to all
parties. If no party requests additional procedures, a final Opinion
and Order may be issued based on the official record, including the
Application and responses filed by parties pursuant to this Notice, in
accordance with 10 CFR 590.316.
Signed in Washington, DC, on October 5, 2021.
Amy Sweeney,
Director, Office of Regulation, Analysis, and Engagement, Office of
Resource Sustainability.
[FR Doc. 2021-22018 Filed 10-7-21; 8:45 am]
BILLING CODE 6450-01-P
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