Energy Law

Sabine Pass LNG Granted Permission to Import Commissioning Cargo

Posted on March 17, 2008
Last week FERC granted Sabine Pass LNG permission to import LNG cargos to its terminal for commissioning and testing activities. The authorization is subject to several conditions and is available on FERC's eLibrary under Docket No. CP04-47.

FERC Seeks Additional Information from Oregon LNG

Posted on March 10, 2008
FERC last week issued a request for additional information from Oregon LNG, to follow up on the developer's previous verbal responses regarding the proposed site's geotechnical and soil analyses. FERC's request is available in its eLibrary under Docket No...

Oregon Congressional Representatives Urge Greater State Involvement in LNG Terminal Siting Process

Posted on March 10, 2008
The Oregonian reports that four U.S. Congressional Democrats from Oregon, Reps. Peter DeFazio, David Wu, Earl Blumenauer, and Darlene Hooley, issued a joint letter to FERC requesting that the agency investigate whether Oregon needs the additional natural gas supplies that the three LNG projects proposed for the state would provide, and encouraging FERC to work closely with state agencies during the siting process.

NEB Rejects Portions of Proposed Emera Gas Pipeline Route from Canaport LNG

Posted on March 06, 2008
The Canadian National Energy Board (NEB) rejected portions of the proposed route for the Emera Brunswick Pipeline project, which would transport gas from the Canaport LNG terminal in Saint John to the Canada-United States border. The rejected portions of the route would have transected property owned by Galbraith Construction and Galbraith Equipment...

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BIA Files Motion to Intervene, Comments on Downeast LNG Proposal

Posted on March 05, 2008
The United States Department of the Interior's Bureau of Indian Affairs (BIA) has filed a Motion to Intervene in the federal regulatory proceedings for the proposed Downeast LNG terminal project. In comments included with the motion, the BIA asserts that the Downeast LNG project may have an impact on the "cultural and religious interests" of the Passamaquoddy Tribe and "may also have an effect on wetland habitats and may impact the water quality and quantity in the surrounding area...

Environmental Assessment to Be Prepared for Construction Activities Proposed by Trunkline LNG

Posted on March 05, 2008
FERC announced today in the Federal Register that its staff will prepare an environmental assessment to address Trunkline LNG Company LLC's proposed Pipeline Compressor Addition Project. Specifically, Trunkline plans to install a 1,500 horsepower pipeline compressor, as well as associated pipeline and electrical infrastructure on land owned by the company...

FERC Suspends Review of SES Long Beach LNG Project

Posted on March 04, 2008
Yesterday FERC announced that it has suspended its review of the Sound Energy Solutions ("SES") Long Beach LNG regasification project. According to the letter issued by FERC, SES lacks control over the proposed site of its LNG terminal. FERC indicates that if SES secures full control over the proposed site, the Commission will reinitiate processing SES' application for the project...

Secretary of Commerce Stays Closure of Record in CZMA Consistency Appeal by Weaver's Cove LNG

Posted on March 03, 2008
U.S. Secretary of Commerce, Carlos Gutierrez, has determined that it is necessary to receive additional information before deciding on Weaver's Cove LNG's consistency appeal under the Coastal Zone Management Act (CZMA) and, as a result, has stayed closure of the decision record until May 5, 2008...

Maryland Congressional Members Call for Rejection of Sparrows Point LNG Application

Posted on February 29, 2008
Maryland Senators Barbara Mikulski (D) and Ben Cardin (D), as well as Congressmen Elijah Cummings (D), Dutch Ruppersberger (D), and John Sarbanes (D) have requested that FERC reject AES Corp.'s application for the Sparrows Point LNG project. The Associated Press (via the Baltimore Examiner) reports that the Maryland delegates are citing the project's Waterway Suitability Report, issued by the U...

U.S. Coast Guard Indicates Additional Security Measures Needed for Sparrows Point LNG Marine Transit

Posted on February 28, 2008
The Baltimore Sun reports that the U.S. Coast Guard's Waterway Suitability Assessment concludes that additional security measures are necessary to protect LNG tankers transiting to the Sparrows Point LNG terminal proposed by AES Corp. The assessment noted that the waterway could "be made suitable" with increased security resources, including armed escorts, security patrols, and periodic inspections by divers...

Downeast LNG DEIS Expected in March or April

Posted on February 28, 2008
The Telegraph-Journal (New Brunswick, Canada) reports that FERC may release its Draft Environmental Impact Statement for the Downeast LNG terminal proposal in March or April of 2008. Dean Girdis, president of Downeast LNG, told the Telegraph-Journal that if the approval process goes as planned, he expects to commence construction in the spring of 2009.

Connecticut Scientists Critical of Broadwater FEIS

Posted on February 27, 2008
Marine scientists from the University of New Haven and the University of Connecticut told a state task force that the Final Environmental Impact Statement (FEIS) issued by FERC on the Broadwater LNG proposal contains "information holes and missteps" and that the agency "misinterpreted [its] own data...

FERC Denies Rehearing in Elba Expansion

Posted on February 22, 2008
The Commission issued an order Tuesday denying rehearing and granting reconsideration of Southern LNG, Inc.'s Elba Island expansion project (Elba III). Notably, FERC rejected charges by Marathon LNG that the Commission exceeded its statutory authority by approving rates related to the Section 3 expansion and violated FERC rules by the manner in which the rates were approved...

Settlement Proposed in Gas Quality Proceeding

Posted on February 22, 2008
Platts LNG Daily [subscription required] reports that Algonquin Gas Transmission, a subsidiary of Spectra Energy, has filed at FERC a proposed settlement agreement in its gas quality proceeding. According to Algonquin, the settlement, which would limit nitrogen in the gas stream to a maximum of 2...

NorthernStar Urges FERC to Continue Review of Bradwood Landing LNG Project

Posted on February 22, 2008
Bradwood Landing LNG developer NorthernStar Natural Gas has requested that FERC continue its review of proposed LNG projects in Oregon. NorthernStar's request follows a letter to FERC from Oregon Governor Ted Kulongoski (D) in which the Governor requested that FERC's review of LNG projects in Oregon be delayed pending an anaylsis of the need for and alternatives to LNG imports...

Safe Harbor Investors Ask Court to Reject MARAD Decision

Posted on February 20, 2008
Atlantic Sea Island Group (ASIG) has sued MARAD in the Federal District Court for the District of Columbia over its decision to grant New Jersey "adjacent coastal state" status in the approval process for the Safe Harbor Energy LNG project. Newsday reports that ASIG chairman Howard Bovers said that even though New Jersey Governor Jon Corzine (D) requested "adjacent coastal state" status, the governor is not necessarily opposed to the project, but wants a voice in the process...

FERC Seeks Comments on New Pipeline Route Proposed by Downeast LNG

Posted on February 20, 2008
The Bangor Daily News reports that FERC is seeking public comments on the latest pipeline route proposed by Downeast LNG. The Daily News notes that this plan is the sixth route proposed by Downeast after the previous plans were withdrawn over environmental concerns...

Oregon Governor Asks Federal Regulators to Consider Alternatives to LNG

Posted on February 18, 2008
The McMinnville News Register (Ore.) reports that Gov. Ted Kulongoski (D-Ore.) requested that federal regulators responsible for approving LNG terminals consider all alternatives for supplying natural gas to the area before moving forward with any of the three LNG terminal proposals currently under review...

Opponents Air Views at Bradwood Landing LNG Public Meeting

Posted on February 15, 2008
Calling the Bradwood Landing regulatory process a "shell game," several local residents expressed frustration with the review of the Bradwood Landing LNG proposal at a public hearing hosted by federal and state agencies on Wednesday. In response, a NorthernStar Natural Gas official said that his company is working with the relevant regulatory agencies to have all required permits in place by the end of 2008...

Secretary of Commerce Stays Closure of Decision Record in Determination of CZMA Consistency Appeal by AES Sparrows Point

Posted on February 14, 2008
Secretary of Commerce Carlos Gutierrez has determined that it is necessary to receive supplemental information before deciding Sparrows Point LNG's consistency appeal under the Coastal Zone Management Act (CZMA) and, as a result, has stayed closure of the decision record until April 14, 2008...

Bradwood Landing LNG Proposal Meeting Location Changed

Posted on February 13, 2008
In anticipation of greater-than-expected attendance, today's public meeting hosted by four state and federal agencies has been moved to a larger venue. The agencies will provide information on their respective roles in the review of certain elements of the Bradwood Landing LNG terminal project...

MARAD Reaffirms New Jersey's Adjacent Coastal State Status in Safe Harbor Energy Proceeding

Posted on February 12, 2008
MARAD reaffirmed its earlier decision to grant Adjacent Coastal State status to New Jersey following a Request for Reconsideration by Atlantic Sea Island Group. MARAD noted that although the proposed site of the Safe Harbor Energy LNG terminal is 19 miles from the New Jersey coast and outside the 15-mile limit specified by statute, the risks posed by the proposed facility affect both New York and New Jersey equally...

Conn. Attorney General Pledges Continued Opposition to Broadwater LNG Proposal

Posted on February 12, 2008
Predicting that FERC will give final approval to the Broadwater LNG proposal soon, Connecticut Attorney General Richard Blumenthal yesterday pledged to continue to oppose the project. Blumenthal stated that his office "will take the deficiencies in that federal approval and go to federal court as soon as we can...

Shell Announces U.S. Mariner Recruiting Effort for Global LNG Fleet

Posted on February 11, 2008
Shell announced late last week that it plans to actively recruit U.S. mariners for its global LNG fleet. Shell Trading?s general manager of shipping, Bob Salmon, said, "[t]he addition of U.S. mariners will positively enhance Shell's diverse seafarer skill pool and provide Shell and Nakilat [a subsidiary of Qatar Gas] with highly experienced personnel for their LNG fleets...

DOE Changes Reporting Requirements for LNG Importers and Exporters

Posted on February 06, 2008
The Department of Energy?s Office of Fossil Energy has amended the reporting requirements for natural gas and LNG importers and exporters. Submission of quarterly reports is no longer required and monthly reports now must include the information previously captured in quarterly reports...

NMFS Clarifies Comments on Bradwood Landing LNG Proposal

Posted on February 06, 2008
The Daily Astorian [subscription required] reports that last week the National Marine Fisheries Service sent a letter to the U.S. Army Corps of Engineers to clarify its previous comments on the proposed Bradwood Landing LNG terminal. Robert Lohn, regional administrator for NMFS, stated in the letter that the agency's recommendation "that the permit pending...

FY 2009 Budget Increases FERC's Funds for Enforcement and Energy Infrastructure

Posted on February 06, 2008
Platts LNG Daily reports that the proposed federal budget for fiscal year 2009 includes a $13 million increase in FERC's budget for enforcement activities and energy infrastructure programs, including issuance of certificates to LNG terminal and gas pipeline developers...

FERC Announces Limited Scoping for Port Dolphin LNG Proposal

Posted on February 05, 2008
Yesterday FERC announced the scoping period for the Port Dolphin LNG deepwater port proposal limited to the onshore pipeline and other facilities under FERC's jurisdiction. The scoping period will close on March 5, 2008. Also, Port Dolphin LNG recently amended its proposed nearshore pipeline route, as well as other design aspects of the project, to "further minimize potential environmental impacts associated with installation/construction of the project's fixed components...

Sabine Pass LNG Withdraws Request to Receive Cool-Down Cargo

Posted on January 31, 2008
Citing construction delays, Sabine Pass LNG has withdrawn its request with FERC for authorization to receive a cool-down cargo at the Sabine Pass LNG terminal. Sabine Pass LNG, however, indicated that the delays will not affect the facility's commercial operations start date which is scheduled for the second quarter of 2008...

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