DOE seeks comment on American LNG exports out of Florida project

The Office of Fossil Energy (FE) of the U.S. Department of Energy (DOE) will give notice in the March 26 Federal Register of receipt of a December 2014 application by American LNG Marketing LLC for authorization to export domestically produced liquefied natural gas (LNG) at a level of about 3.02 billion cubic feet per year (Bcf/yr) of natural gas (0.008 Bcf/day).

American LNG seeks to export the LNG from a proposed natural gas liquefaction project under construction in Medley, Florida, on the northern portion of the Hialeah Railyard (called the Hialeah Facility). The LNG typically will be delivered into approved ISO IMO7/TVAC-ASME LNG (ISO) containers (truck or rail mounted), then loaded onto container ships or roll-on/roll-off ocean-going carriers for export at the nearby Port of Miami or other ports in Florida capable of handling ISO containers without modification (including Port Everglades, Port Canaveral, Port of Palm Beach, and Port of Jacksonville).

American LNG requests authorization to export this 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 and with which trade is not prohibited by U.S. law or policy (non-FTA countries).

American LNG requests the authorization for a 20-year term to commence on the earlier of the date of first export or seven years from the date the authorization is granted. American LNG seeks to export this LNG on its own behalf and as agent for other entities who hold title to the LNG at the time of export.

Protests, motions to intervene or notices of intervention, as applicable, requests for additional procedures, and written comments are to be filed within 60 days after this March 26 notice.

American LNG is controlled by Fortress Equity Partners (A) LP, which is backed by Fortress Investment Group LLC, a global investment management company.

The project would have a capacity of 100,000 gallons per day of LNG. The application said that a primary market for this LNG would be power plants being converted from burning oil in the Caribbean and Central America. The Florida East Coast Railway, which controls the rail yard where the LNG will be produced, would also use the LNG to fuel some of its trains. The application said the LNG facility is to be completed in September of this year. The facility will interconnect into the Florida Gas Transmission system.

About Barry Cassell 20414 Articles
Barry Cassell is Chief Analyst for GenerationHub covering coal and emission controls issues, projects and policy. He has covered the coal and power generation industry for more than 24 years, beginning in November 2011 at GenerationHub and prior to that as editor of SNL Energy’s Coal Report. He was formerly with Coal Outlook for 15 years as the publication’s editor and contributing writer, and prior to that he was editor of Coal & Synfuels Technology and associate editor of The Energy Report. He has a bachelor’s degree from Central Michigan University.