Notice2023-02044
Mexico Pacific Limited LLC; Application for Additional Long-Term, Multi-Contract Authorization To Export U.S.-Sourced Natural Gas to Mexico and To Re-Export Liquefied Natural Gas From Mexico to Non-Free Trade Agreement Countries
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Published
February 1, 2023
Issuing agencies
Energy Department
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 December 28, 2022, by Mexico Pacific Limited LLC (MPL). MPL requests authority to engage in additional long-term, multi-contract exports of U.S.-sourced natural gas by pipeline to Mexico and to re-export such natural gas as liquefied natural gas (LNG) from its proposed liquefaction and export facility, the MPL Facility, to be located in the State of Sonora, Mexico, in a volume equivalent to 291.22 billion cubic feet per year (Bcf/yr), to non-free trade agreement (non-FTA) countries. MPL filed the Application under section 3 of the Natural Gas Act (NGA).
Full Text
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<title>Federal Register, Volume 88 Issue 21 (Wednesday, February 1, 2023)</title>
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[Federal Register Volume 88, Number 21 (Wednesday, February 1, 2023)]
[Notices]
[Pages 6716-6717]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-02044]
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DEPARTMENT OF ENERGY
[Docket No. 22-167-LNG]
Mexico Pacific Limited LLC; Application for Additional Long-Term,
Multi-Contract Authorization To Export U.S.-Sourced Natural Gas to
Mexico and To Re-Export Liquefied Natural Gas From Mexico to Non-Free
Trade Agreement Countries
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 December 28, 2022, by Mexico
Pacific Limited LLC (MPL). MPL requests authority to engage in
additional long-term, multi-contract exports of U.S.-sourced natural
gas by pipeline to Mexico and to re-export such natural gas as
liquefied natural gas (LNG) from its proposed liquefaction and export
facility, the MPL Facility, to be located in the State of Sonora,
Mexico, in a volume equivalent to 291.22 billion cubic feet per year
(Bcf/yr), to non-free trade agreement (non-FTA) countries. MPL filed
the Application under section 3 of 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, April 3, 2023.
ADDRESSES: Electronic Filing by email: <a href="/cdn-cgi/l/email-protection#accac9decbcddfecc4dd82c8c3c982cbc3da"><span class="__cf_email__" data-cfemail="c7a1a2b5a0a6b487afb6e9a3a8a2e9a0a8b1">[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 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) 586-4749 or (202) 586-7893 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:
Jennifer Wade or Peri Ulrey, U.S. Department of Energy (FE-34), Office
of Regulation, Analysis, and Engagement, Office of Resource
Sustainability, Office of Fossil Energy and Carbon Management,
Forrestal Building, Room 3E-042, 1000 Independence Avenue SW,
Washington, DC 20585, (202) 586-4749 or (202) 586-7893,
<a href="/cdn-cgi/l/email-protection#82e8e7ececebe4e7f0acf5e3e6e7c2eaf3ace6ede7ace5edf4"><span class="__cf_email__" data-cfemail="8ae0efe4e4e3eceff8a4fdebeeefcae2fba4eee5efa4ede5fc">[email protected]</span></a> or <a href="/cdn-cgi/l/email-protection#f8889d8a91d68d948a9d81b89089d69c979dd69f978e"><span class="__cf_email__" data-cfemail="e39386918acd968f91869aa38b92cd878c86cd848c95">[email protected]</span></a>
Cassandra Bernstein, U.S. Department of Energy (GC-76), Office of the
Assistant General Counsel for Energy Delivery and Resilience, Forrestal
Building, Room 6D-033, 1000 Independence Avenue SW, Washington, DC
20585, (202) 586-9793, <a href="/cdn-cgi/l/email-protection#bfdcdeccccded1dbcdde91dddacdd1cccbdad6d1ffd7ce91dbd0da91d8d0c9"><span class="__cf_email__" data-cfemail="3350524040525d5741521d5156415d4047565a5d735b421d575c561d545c45">[email protected]</span></a>
SUPPLEMENTARY INFORMATION: Currently, in separate Docket No. 18-70-LNG,
Order No. 4312,\1\ as amended, MPL is authorized to export U.S.-sourced
natural gas by pipeline from the United States to Mexico for
liquefaction in Mexico and re-export the natural gas in the form of LNG
in a volume equivalent to 621 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).\2\ MPL is authorized to re-export this LNG from the
proposed MPL Facility, to be located on the Gulf of California adjacent
to Puerto Libertad, Mexico, approximately 160 miles south of the United
States-Mexico border.
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\1\ Mexico Pacific Limited LLC, DOE/FE Order No. 4312, Docket
No. 18-70-LNG, Opinion and Order Granting Long-Term, Multi-Contract
Authorization to Export U.S.-Sourced Natural Gas by Pipeline to
Mexico for Liquefaction and Re-Export in the Form of Liquefied
Natural Gas to Non-Free Trade Agreement Countries (Dec. 14, 2018),
amended by DOE/FECM Order No. 4312-A (Jun. 3, 2022) (extending
export term).
\2\ MPL notes that, in Docket No. 18-70-LNG, it is authorized to
export LNG from the MPL Facility to FTA countries in a volume
equivalent to 621 Bcf/yr of natural gas. MPL's FTA exports are not
at issue here.
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In this Application filed in Docket No. 22-167-LNG, MPL states that
it has determined through improvements to the design of the MPL
Facility's three liquefaction trains it will be capable of producing an
additional volume of LNG for re-export. In light of this design
increase, MPL asks DOE to authorize the re-export of an additional
291.22 Bcf/yr of natural gas in the form of LNG from the MPL Facility
to non-FTA countries.\3\ MPL states that this Application, if granted,
would increase its non-FTA exports from the MPL Facility from a total
of 621 Bcf/yr to 912.22 Bcf/yr of natural gas, the aggregate capacity
of the three trains.
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\3\ DOE will review MPL's request for additional volumes to its
existing FTA export authorization, as well as its request for an
additional amount for use as fuel for pipeline transportation or
liquefaction in Mexico, separately pursuant to section 3(c) of the
NGA, 15 U.S.C. 717b(c).
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MPL seeks the authorization on its own behalf and as agent for
other entities that will hold title to the natural gas or LNG at the
point of export or re-export, respectively. MPL requests the
authorization for a term to commence on the date of first export
following the commencement of commercial operation of the MPL Facility,
and to extend through December 31, 2050.
Additional details can be found in MPL's Application, posted on the
DOE website at: <a href="http://www.energy.gov/sites/default/files/2023-01/22-167-LNG_0.pdf">www.energy.gov/sites/default/files/2023-01/22-167-LNG_0.pdf</a>.
DOE Evaluation
In reviewing the 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),\4\ and
DOE's response to public comments received on that Study.\5\
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\4\ 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>.
\5\ 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); \6\
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\6\ 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); \7\ and
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\7\ 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
[[Page 6717]]
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.\8\
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\8\ 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 this proceeding evaluating
MPL's Application, 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 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, including the service
requirements.
As noted, DOE is only accepting electronic submissions at this
time. Please email the filing to <a href="/cdn-cgi/l/email-protection#294f4c5b4e485a694158074d464c074e465f"><span class="__cf_email__" data-cfemail="680e0d1a0f091b280019460c070d460f071e">[email protected]</span></a>. All filings must
include a reference to ``Docket No. 22-167-LNG'' or ``Mexico Pacific
Limited 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.
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="http://www.energy.gov/fecm/regulation">www.energy.gov/fecm/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 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 January 26, 2023.
Amy Sweeney,
Director, Office of Regulation, Analysis, and Engagement, Office of
Resource Sustainability.
[FR Doc. 2023-02044 Filed 1-31-23; 8:45 am]
BILLING CODE 6450-01-P
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