FERC denies Jordan Cove LNG application

The United States Federal Energy Regulatory Commission denied Jordan Cove LNG’s application to build and operate a terminal on the North Spit of Coos Bay in Coos County, Oregon.

The proposed Jordan Cove LNG terminal would have an annual liquefaction capacity of 6 million metric tons.

Additionally, FERC denied the application for the construction of the Pacific Connector gas pipeline, that is designed to deliver up to 1.06 Bcf/d of natural gas from interconnects with Ruby Pipeline and Gas Transmission Northwest near Malin, Oregon, to the Jordan Cove LNG terminal.

The commission noted that the Pacific Connector has not held an open season to market the capacity, nor signed any agreements for the project.

With the pipeline being denied construction authorization, FERC added that without a pipeline connecting it to a source of gas to be liquefied and exported, the proposed Jordan Cove LNG terminal can provide no benefit to the public to counterbalance any of the impacts which would be associated with its construction.

“The construction of the terminal would be inconsistent with the public interest,” FERC said in its order denying Jordan Cove’s request to build and operate the LNG terminal.

However, the Calgary-based Veresen, the parent company of Jordan Cove LNG, said in its response to the commission’s decision that the company will file a request for rehearing of the decision.

Don Althoff, president and CEO of Veresen, said that the company will advance talks with potential customers in order to address FERC’s concern that the project has not yet demonstrated sufficient commercial support.

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LNG World News Staff

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