Notice2023-06509
Pieridae Energy (USA) Ltd.; Request for Extension for Long-Term Authorization To Export Liquefied Natural Gas
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Published
March 29, 2023
Issuing agencies
Energy Department
Abstract
The Office of Fossil Energy and Carbon Management (FECM) (formerly the Office of Fossil Energy) of the Department of Energy (DOE) gives notice (Notice) of receipt of a request (Request), filed by Pieridae Energy (USA) Ltd. (Pieridae USA) on February 2, 2023, and supplemented on February 3, 2023. Pieridae USA requests an amendment to its existing authorization to export U.S.-sourced natural gas by pipeline to Canada and to re-export such natural gas as liquefied natural gas (LNG) to non-free trade agreement countries set forth in DOE/FE Order No. 3768--specifically, an extension to commence its commercial export operations. Pieridae USA filed its request under the Natural Gas Act (NGA). Protests, motions to intervene, notices of intervention, and written comments are invited.
Full Text
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<title>Federal Register, Volume 88 Issue 60 (Wednesday, March 29, 2023)</title>
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[Federal Register Volume 88, Number 60 (Wednesday, March 29, 2023)]
[Notices]
[Pages 18530-18532]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-06509]
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DEPARTMENT OF ENERGY
[Docket No. 14-179-LNG]
Pieridae Energy (USA) Ltd.; Request for Extension for Long-Term
Authorization To Export Liquefied Natural Gas
AGENCY: Office of Fossil Energy and Carbon Management, Department of
Energy.
ACTION: Notice of request.
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SUMMARY: The Office of Fossil Energy and Carbon Management (FECM)
(formerly the Office of Fossil Energy) of the Department of Energy
(DOE) gives notice (Notice) of receipt of a request (Request), filed by
Pieridae Energy (USA) Ltd. (Pieridae USA) on February 2, 2023, and
supplemented on February 3, 2023. Pieridae USA requests an amendment to
its existing authorization to export U.S.-sourced natural gas by
pipeline to Canada and to re-export such natural gas as liquefied
natural gas (LNG) to non-free trade agreement countries set forth in
DOE/FE Order No. 3768--specifically, an extension to commence its
commercial export operations. Pieridae USA filed its request under the
Natural Gas Act (NGA). Protests, motions to intervene, notices of
intervention, and written comments are invited.
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 28, 2023.
ADDRESSES:
Electronic Filing by email: <a href="/cdn-cgi/l/email-protection#b8deddcadfd9cbf8d0c996dcd7dd96dfd7ce"><span class="__cf_email__" data-cfemail="63050611040210230b124d070c064d040c15">[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#d7bdb2b9b9beb1b2a5f9a0b6b3b297bfa6f9b3b8b2f9b0b8a1"><span class="__cf_email__" data-cfemail="3258575c5c5b5457401c45535657725a431c565d571c555d44">[email protected]</span></a> or <a href="/cdn-cgi/l/email-protection#770712051e59021b05120e371f065913181259101801"><span class="__cf_email__" data-cfemail="82f2e7f0ebacf7eef0e7fbc2eaf3ace6ede7ace5edf4">[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#85e6e4f6f6e4ebe1f7e4abe7e0f7ebf6f1e0ecebc5edf4abe1eae0abe2eaf3"><span class="__cf_email__" data-cfemail="bddedccecedcd3d9cfdc93dfd8cfd3cec9d8d4d3fdd5cc93d9d2d893dad2cb">[email protected]</span></a>
SUPPLEMENTARY INFORMATION: On February 5, 2016, DOE issued DOE/FE Order
No. 3768,\1\ authorizing Pieridae USA to export natural gas from the
United States to Canada and, after liquefaction in Canada, to re-export
the U.S.-sourced natural gas in the form of LNG by vessel from the
proposed Goldboro LNG Project (Project), to be located in the
Municipality of the District of Guysborough, Nova Scotia, Canada, 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-
[[Page 18531]]
FTA countries).\2\ Pieridae USA is authorized to re-export the U.S.-
sourced natural gas in the form of LNG to non-FTA countries in a volume
equivalent to 292 billion cubic feet per year (Bcf/yr) of natural gas
for a term of 20 years to commence from the date of first commercial
re-export, but not before.\3\
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\1\ Pieridae Energy (USA) Ltd., DOE/FE Order No. 3768, Docket
No. 14-179-LNG, Opinion and Order Granting Long-Term, Multi-Contract
Authorization to Export U.S.-Sourced Natural Gas Natural Gas by
Pipeline to Canada for Liquefaction and Re-Export in the Form of
Liquefied Natural Gas to Non-Free Trade Agreement Countries (Feb. 5,
2016), <a href="https://www.energy.gov/sites/prod/files/2016/02/f29/ord3768.pdf">https://www.energy.gov/sites/prod/files/2016/02/f29/ord3768.pdf</a>.
\2\ 15 U.S.C. 717b(a).
\3\ See Pieridae Energy (USA) Ltd., DOE/FE Order No. 3768 at 227
(Ordering Para. A).
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As relevant here, Order No. 3768 requires Pieridae USA to
``commence re-export operations using the planned liquefaction
facilities no later than seven years from the date of issuance of this
Order''--i.e., by February 5, 2023.\4\ In the Request, Pieridae USA
asks DOE to extend this commencement deadline to February 5, 2028,
``such that the term of [the non-FTA] authorization would begin on the
earlier of the date of first commercial export or February 5, 2028.''
\5\
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\4\ Pieridae Energy (USA) Ltd., DOE/FE Order No. 3768, at 228
(Ordering Para. D).
\5\ Pieridae Energy (USA) Ltd., Request for Extension for Long-
Term, Multi-Contract Authorization to Export U.S. Sourced Natural
Gas by Pipeline to Canada for Liquefaction and Re-Export in the Form
of Liquefied Natural Gas, Docket Nos. 14-179-LNG, at 1 (Feb. 2,
2023) [hereinafter Request]. The Request also applies to Pieridae
USA's existing FTA orders in Docket Nos. 14-179-LNG, but DOE will
address that portion of the Request separately pursuant to NGA
section 3(c), 15 U.S.C. 717b(c).
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In support of this Request, Pieridae USA states that the Project's
timeline was pushed back due to its unsuccessful, costly and time-
consuming engagement with several internationally regarded LNG
engineering, procurement, and construction (EPC) companies in
undertaking the necessary steps to enter a lump sum turnkey EPC and
commissioning contract for the Project, in addition to the
``unprecedented COVID-19 pandemic which offered its own additional and
significant impacts on the Project's ability to move forward.'' \6\
Pieridae USA states that it engaged further a EPC company to review and
revise the design to a more modularized Project.\7\ According to
Pieridae USA, the revised design, completed in January 2023, is in line
with many recent US LNG export projects based on a smaller scale
modularized approach.\8\ Pieridae USA states that it is now ready to
progress this concept in the realization of the Project.\9\ Pieridae
USA asserts that granting the requested extension of time will enable
Pieridae USA to complete the necessary detailed design, engineering and
costing work in order to commence construction and place the Goldboro
LNG Project into service.\10\ Pieridae USA states that ``[t]he only
change to the Project [from the original Application] will be the use
of ten smaller modularized liquefaction trains versus the two larger
liquefaction trains.'' \11\ Additional details can be found in the
Request, posted on the DOE website at: <a href="http://www.energy.gov/fecm/articles/pieridae-energy-usa-ltd-fe-dkt-no-14-179-lng">www.energy.gov/fecm/articles/pieridae-energy-usa-ltd-fe-dkt-no-14-179-lng</a>.
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\6\ Request at 3.
\7\ Request at 3.
\8\ Request at 3.
\9\ Request at 3-4.
\10\ Request at 3-4.
\11\ Request at 4.
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DOE Evaluation
In reviewing Pieridae USA's Request, DOE will consider any issues
required by law or policy under NGA section 3(a). To the extent
appropriate, DOE will consider the study entitled, Macroeconomic
Outcomes of Market Determined Levels of U.S. LNG Exports (2018 LNG
Export Study),\12\ DOE's response to public comments received on that
Study,\13\ and the following environmental documents:
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\12\ See NERA Economic Consulting, Macroeconomic Outcomes of
Market Determined Levels of U.S. LNG Exports (June 7, 2018), <a href="https://www.energy.gov/sites/prod/files/2018/06/f52/Macroeconomic%20LNG%20Export%20Study%202018.pdf">https://www.energy.gov/sites/prod/files/2018/06/f52/Macroeconomic%20LNG%20Export%20Study%202018.pdf</a>.
\13\ 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), <a href="https://www.govinfo.gov/content/pkg/FR-2018-12-28/pdf/2018-28238.pdf">https://www.govinfo.gov/content/pkg/FR-2018-12-28/pdf/2018-28238.pdf</a>.
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<bullet> Addendum to Environmental Review Documents Concerning
Exports of Natural Gas From the United States, 79 FR 48132 (Aug. 15,
2014); \14\
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\14\ The Addendum and related documents are available at <a href="https://www.energy.gov/fecm/addendum-environmental-review-documents-concerning-exports-natural-gas-united-states">https://www.energy.gov/fecm/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); \15\ and
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\15\ The 2014 Life Cycle Greenhouse Gas Report is available at
<a href="https://www.energy.gov/fecm/life-cycle-greenhouse-gas-perspective-exporting-liquefied-natural-gas-united-states">https://www.energy.gov/fecm/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.\16\
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\16\ 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 the Request should address these issues and
documents in their comments and/or protests, as well as other issues
deemed relevant to the Request.
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, addressing the Request. Interested parties will be provided
30 days from the date of publication of this Notice in which to submit
comments, protests, motions to intervene, or notices of intervention.
The public previously was given an opportunity to intervene in,
protest, and comment on Pieridae USA's prior non-FTA applications in
Docket No. 14-179-LNG. Therefore, DOE will not consider comments or
protests that do not bear directly on this Request.
Any person wishing to become a party to this portion of the
proceeding evaluating Pieridae USA's Request must file a motion to
intervene or notice of intervention. The filing of comments or a
protest with respect to the Request 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
Request. 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="http://fergas.hq.doe.gov">fergas.hq.doe.gov</a>. All filings must
include a reference to ``Docket No. 14-179-LNG'' or ``Pieridae Energy
(USA) Ltd. Request for Extension'' 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 Request 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>.
[[Page 18532]]
A decisional record on the Request 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 Request and
responses filed by parties pursuant to this Notice, in accordance with
10 CFR 590.316.
Signed in Washington, DC, on March 23, 2023.
Amy Sweeney,
Director, Office of Regulation, Analysis, and Engagement, Office of
Resource Sustainability.
[FR Doc. 2023-06509 Filed 3-28-23; 8:45 am]
BILLING CODE 6450-01-P
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