Nov 22, 2019 - Energy & Climate

Federal regulators approve new liquified natural gas projects in Texas

Ben Geman

Liquified Natural Gas (LNG) refueling station at Big Blue Bus Terminal. Santa Monica, Los Angeles, California, — Liquified Natural Gas refueling station at Big Blue Bus Terminal. Photo: Citizen of the Planet/Education Images/Universal Images Group via Getty Images

The Federal Energy Regulatory Commission Thursday approved three liquefied natural gas export projects in Texas and also green-lit the expansion of a fourth existing operation.

Why it matters: The sign-offs are the latest step in the continuing expansion of U.S. export projects that are tapping into huge domestic supplies and backed by successive administrations.

But, but, but: Bloomberg, which notes the projects would roughly double current U.S. export capacity, reports on "doubts" that they will actually be built. The piece describes the headwinds in the LNG market:

"The nation is already sending more gas overseas than ever as shale output surges. But prices have collapsed amid the U.S.-China trade war and a worldwide glut of the heating and power-plant fuel, making buyers increasingly unwilling to sign the long-term contracts needed to develop multibillion-dollar terminals."

Worth noting: FERC approved six other new projects earlier this year.

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Federal regulators approve new liquified natural gas projects in Texas

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