FERC Approves Kinder Morgan’s Mississippi LNG Export Project

The Federal Energy Regulatory Commission on July 16 authorized Gulf LNG Liquefaction Company LLC and Gulf LNG Energy LLC to construct and operate new facilities for the export of liquefied natural gas at the existing import terminal in Mississippi.

The order also authorizes modifications to the existing pipeline to service to the export terminal. The proposed Gulf LNG Liquefaction Project would facilitate the export of up to 10.85 million metric tons per year of natural gas in the form of LNG.

Commissioner Richard Glick, a Democrat, dissented, saying that the order violates the Natural Gas Act and the National Environmental Policy Act by refusing to consider the climate impacts of the project.

Outgoing Commissioner Cheryl LaFleur voted with the majority finding that the project is in the public interest despite concerns about the commission’s “failure to assess the significance of GHG emissions.” Similar to prior orders, the commission disclosed the direct GHG emissions of the project and provided context by comparing with the national emissions inventory, LaFleur noted.

Gulf Liquefaction and Gulf Energy are operated by Southern Gulf LNG Company LLC, a subsidiary of Kinder Morgan Inc.