The U.S.听Federal Energy Regulatory Commission听(FERC)听approved the construction of a听liquefied natural gas export project on Monday,听
FERC approved听Dominion Resources Inc. on Monday听to build the Cove Point LNG听project听in the state of听Maryland, in the U.S., said a statement on the FERC website.听
"We are pleased to receive this final approval that allows us to start constructing this important project that offers significant economic, environmental and geopolitical benefits," said听Diane Leopold, president of Dominion Energy.听
The construction of the export project听is estimated to cost between听$3.4 - $3.8 billion, while the Dominion company has fully subscribed to the marketed capacity of the project with its 20-year service agreements signed with companies in Japan and India, said the news release.听
The Cove Point terminal is听to export up to 5.75 metric tons of LNG听per year, and will start听its service in 2017, while the听Department of Energy has approved it to export gas听to both Free Trade Agreement and non-Free Trade Agreement countries, according to the FERC statement.听
U.S. companies are not allowed to export liquefied natural gas (LNG) to countries that the U.S. does not have听a free trade agreement (FTA) with,听unless they are first听authorized by the U.S. Department of Energy.听
The Cove Point听facility has become the fourth approved LNG听export project, after Cheniere's听Sabine Pass project in Louisiana,听Carib Energy鈥檚 facility in Florida, and听Sempra Energy鈥檚 Cameron LNG facility in Louisiana.听
By Ovunc Kutlu
Anadolu Agency
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