The US Department of Energy (DOE) granted a conditional export license for US developer Venture Global's proposed 28mn t/yr CP2 LNG terminal in Louisiana on Wednesday, removing one of the final regulatory hurdles for what would be among the largest LNG export facilities in the US.
The order conditionally permits the CP2 facility to export LNG to countries that do not have a free trade agreement (non-FTA) with the US and clears the path for Venture Global to reach a final investment decision (FID) for phase 1 of the project, which the firm said this month it hopes to reach by mid-2025.
The approval marks the fifth move by President Donald Trump's administration to buttress the US LNG industry, following a similar license for Commonwealth LNG, permit extensions for the 18.1mn t/yr Golden Pass and 13.3mn t/yr Delfin projects and the lifting of a barrier for LNG to be used as a marine fuel.
The CP2 facility, capable of exporting 3.96bn ft³/d of gas, is in southwest Louisiana next to Venture Global's 12.4mn t/yr Calcasieu Pass terminal, which is set to begin commercial operations on 15 April.
Venture Global said this month that the 36-train CP2 facility could export up to 550 commissioning cargoes on the spot market during the start-up process, which would include two phases. The first phase consists of 13 blocks, comprising 26 liquefaction trains, with a targeted commissioning date of mid-2029. The second phase consists of five blocks, totaling 10 trains, with a targeted FID in mid-2026 and commissioning date of mid-2030.
The firm said earlier this month that it expects first LNG from the terminal in the third quarter of 2027. Some 12 of the 36 trains were being built as of 6 March.
As of late December, Venture Global had entered eight 20-year sales and purchase agreements (SPAs) for CP2's nameplate capacity, all pertaining to phase 1 and equal to 9.25mn t/yr (see table).
The firm expects CP2 will cost between $27bn-28bn, according to an SEC filing this month.
The project is still awaiting a final environmental analysis under its authorization from energy regulator FERC, which was granted last June. In November, FERC issued an order that partially set aside its prior analysis of the environmental impact of CP2 and began preparing a supplemental environmental impact statement (EIS). FERC issued a draft of the EIS on 7 February, with public comments due by 31 March and the final EIS to be issued by 9 May.
The DOE's full authorization for CP2 to export to non-FTA countries will be "informed" by its 2024 study reviewing the economic and environmental effects of licensing more LNG projects as well as the public comments it receives, Wednesday's order said. But the DOE said the order does not rely on the study.
The 90-day comment period on the DOE study concludes on 20 March.
| CP2 LNG SPAs | mn t/yr |
| Company | Capacity |
| Inpex | 1.00 |
| China Gas | 1.00 |
| EnBW | 1.00 |
| Chevron | 1.00 |
| ExxonMobil | 1.00 |
| New Fortress Energy | 1.00 |
| SEFE | 2.25 |
| Jera | 1.00 |
| ― US Department of Energy | |
