USA: Magnolia LNG Files for Additional Export Approvals

Liquefied Natural Gas Limited said that its 100% owned subsidiary Magnolia LNG has applied to the United States Department of Energy (DOE) for additional export approvals.

Magnolia LNG has applied to the United States Department of Energy to:

– Export up to 8 million tonnes per annum (mtpa) of LNG from the proposed Magnolia LNG Project in Lake Charles, Louisiana to countries that do not have a Free Trade Agreement with the United States, and

– Export an additional 4 mtpa of LNG to countries that currently and in the future may have a Free Trade Agreement (FTA) with the United States.

The DOE already granted Magnolia LNG authorization to export up to 4 mtpa of LNG to FTA countries in February 2013.

Company Managing Director, Maurice Brand, said that “discussions being held with potential new tolling parties have increased LNG demand from Magnolia LNG to over 8mpta. The increased level of DOE approvals being sought will allow Magnolia LNG to progress Tolling Agreements for the additional two LNG trains, each of 2 mpta.”

“These applications do not affect the timing to Financial Close of the Magnolia LNG phase 1 development of 4 mpta, which is on schedule for the first half of 2015. Should these additional approvals be authorised, it will provide Magnolia LNG with increased flexibility to supply LNG to a greater number of countries. The overall development plan remains at 8 mtpa and the project development approvals being sought with the US Federal Energy Regulatory Commission are consistent with that volume of exports,” said Brand.

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LNG World News Staff, October 16, 2013; Image: Magnolia LNG