For the first time, the U.S. Department of Energy has granted approval for a floating gas terminal to export LNG to countries not in a free-trade agreement with the U.S.

Bottom of Form

Fairwood Peninsula Energy Corp.’s Delfin project will ship 51 MMcm/d (1.8 Bcf/d) beginning in 2020, Bloomberg reported in early June. The Trump administration is encouraging construction of more LNG terminals on U.S. coasts and increased exports.

The action will “continue to strengthen the United States as a dominant energy force,” U.S. Energy Secretary Rick Perry said in a statement. “Investing in American natural gas not only helps our economy and our jobs but also helps our allies maintain their energy security.”

As an offshore operation, Delfin is the only terminal that does not require approval from the Federal Energy Regulatory Commission. It does, however, require OKs from the Maritime Administration and the U.S. Coast Guard.

Delfin consists of four floating LNG vessels. Several other floating export terminals are in the works because they are seen as a way to engage with countries that have built floating import terminals.

—Staff Reports