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The Jordan Cove LNG export terminal has overcome a key legal challenge, providing a massive boost to Western energy producers hoping to ship natural gas to Asian markets.
Western energy producers scored a win on Monday when the US Department of Energy issued a final order authorizing the export of liquefied natural gas (LNG) from the Jordan Cove LNG Terminal (Jordan Cove) in Coos Bay, Oregon. Jordan Cove will be the first LNG export facility built on the West Coast and will link western gas producers with new markets in Asia.
The proposed Jordan Cove LNG export terminal and Pacific Connector Pipeline project scored a major victory on Thursday after receiving approval from the Federal Energy Regulatory Commission (FERC).
The Jordan Cove liquefied natural gas export facility planned for Coos Bay, Oregon hit another speedbump as the state’s land and environmental officials denied a permit to the company behind the project just as federal regulators were poised to vote on the facility this week. The letter from Oregon’s Department of Land Conservation and Development to Pembina Pipeline Corp, the company behind the Jordan Cove project, objected to “adverse effects” that would accompany the export terminal’s completion, halting the Federal Energy Regulatory Commission’s approval.
A contingent representing Northwest Colorado, Utah and Wyoming traveled to Oregon to express their support for the Jordan Cove project, which would allow for natural gas produced in the region to be exported to Asian markets.
Governor Mark Gordon and the Wyoming Pipeline Authority became the latest to join the Western States Tribal Nations (WSTN) agreement this week, joining governments in the west to promote natural gas development produced in the region. WSTN formed after the release of an April report that detailed the abundance of natural gas resources in Utah’s Uinta and Colorado’s Piceance basins.
A state agency’s denial on Monday of a critical water permit under federal law and the lack of support from state energy offices in western states could threaten to shut down a liquefied natural gas export terminal meant to draw the fuel from western states and ship to customers across the world, including Asia, resulting in billions in missed economic gains and the loss of critical rural jobs. The decision by Oregon’s Department of Environmental Quality to not certify the proposed Jordan Cove liquefied natural gas terminal using the Clean Water Act could halt or delay the production and further development of resources in the Uinta basin in Utah and the Piceance Basin in Colorado.