DoE grants two small-scale LNG export permits

DoE grants two small-scale LNG export permitsIllustration purposes only - Port Allen LNG facility (Image courtesy of NuBlu Energy)

The United States Department of Energy issued orders authorizing small-scale liquefied natural gas exports to Blue Water Fuels and SpotX Energy.

In its application, Blue Water Fuels requested authority to export LNG to any country with which the United States does not have a free trade agreement (FTA) requiring national treatment for trade in natural gas (non-FTA countries).

Blue Water Fuels seeks to export LNG in a volume equivalent to 3.4 billion cubic feet (Bcf) per year, or 0.009 Bcf per day, of natural gas.

Blue Water Fuels proposes to load the LNG into approved ISO containers at two existing natural gas liquefaction facilities, the Port Allen NuBlu LNG facility located in Port Allen, Louisiana, and owned by HR NuBlu Energy, and the Ehrenberg Spectrum LNG facility located in Ehrenberg, Arizona, and owned by Spectrum LNG.

Blue Water Fuels seeks to export this LNG by means of both ocean-going vessels and in ISO containers loaded on container vessels for a term of 20 years.

In its second order, DoE granted the permit to SpotX Energy to export LNG in a total volume equivalent to 51.75 Bcf per year. The company aims to purchase the LNG volumes and load them to ISO containers at LNG facilities on the Gulf Coast.

The company has identified 20 facilities it can purchase LNG from to export to both FTA and non-FTA countries for a 20-year period.

DoE noted in its notice that the order does not provide SpotX with an independent right to purchase or load LNG at any of the facilities. DOE said it takes no position on the commercial arrangements that may be necessary for SpotX to effectuate the export of LNG approved in the order.

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