Alaska LNG Project LLC; Application for Long-Term Authorization To Export Liquefied Natural Gas Produced From Domestic Natural Gas Resources to Non-Free Trade Agreement Countries for a 30-Year Period, 55764-55768 [2014-22226]
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DEPARTMENT OF ENERGY
[FE Docket No. 14–96–LNG]
Alaska LNG Project LLC; Application
for Long-Term Authorization To Export
Liquefied Natural Gas Produced From
Domestic Natural Gas Resources to
Non-Free Trade Agreement Countries
for a 30-Year Period
Office of Fossil Energy, DOE.
Notice of application.
AGENCY:
ACTION:
The Office of Fossil Energy
(FE) of the Department of Energy (DOE)
gives notice of receipt of an application
(Application) filed on July 18, 2014, by
Alaska LNG Project LLC (Alaska LNG),
requesting long-term multi-contract
authorization to export 20 million
metric tons per annum (mtpa) of
liquefied natural gas (LNG) produced
from Alaskan sources in a volume
equivalent to approximately 929 billion
cubic feet per year (Bcf/yr) of natural
gas, or approximately 2.55 Bcf per day
(Bcf/d).1 Alaska LNG seeks
authorization to export the LNG by
vessel from a proposed Liquefaction
Facility to be constructed in the Nikiski
area of the Kenai Peninsula in south
central Alaska (Project), 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 (nonFTA countries).2 Alaska LNG requests
this authorization for a 30-year term to
commence on the earlier of the date of
first export or 12 years from the date the
requested authorization is granted.
Alaska LNG seeks to export the LNG on
its own behalf and as agent for other
parties who hold title to the LNG at the
time of export. The Application was
filed under section 3 of the Natural Gas
Act (NGA).
DATES: Protests, motions to intervene or
notices of intervention, as applicable,
requests for additional procedures, and
SUMMARY:
1 Alaska LNG states that the conversion factor of
46.467 Bcf per million metric ton is appropriate due
to the relatively high heating content (Btu/cubic
foot gas) and associated physical characteristics of
LNG produced from Alaska sources. According to
Alaska LNG, the conversion factors used in
applications to export LNG from the lower 48 states
of the United States are not applicable in this
proceeding.
2 In the Application, Alaska LNG also requests
authorization to export LNG to any nation that
currently has, or in the future may enter into, a FTA
requiring national treatment for trade in natural gas
(FTA countries). DOE/FE will review Alaska LNG’s
request for a FTA export authorization separately
pursuant to NGA § 3(c), 15 U.S.C. 717b(c). Alaska
LNG notes that the total volume requested in the
Application (20 mtpa) represents LNG in an
aggregate amount for export to both non-FTA and
FTA countries.
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written comments are to be filed using
procedures detailed in the Public
Comment Procedures section no later
than 4:30 p.m., Eastern time, November
17, 2014.
ADDRESSES: Electronic Filing by email:
fergas@hq.doe.gov.
Regular Mail: U.S. Department of
Energy (FE–34), Office of Oil and Gas
Global Security and Supply, Office of
Fossil Energy, P.O. Box 44375,
Washington, DC 20026–4375.
Hand Delivery or Private Delivery
Services (e.g., FedEx, UPS, etc.): U.S.
Department of Energy (FE–34), Office of
Oil and Gas Global Security and Supply,
Office of Fossil Energy, Forrestal
Building, Room 3E–042, 1000
Independence Avenue SW.,
Washington, DC 20585.
FOR FURTHER INFORMATION CONTACT:
Larine Moore or Lisa Tracy, U.S.
Department of Energy (FE–34), Office of
Oil and Gas Global Security and Supply,
Office of Fossil Energy, Forrestal
Building, Room 3E–042, 1000
Independence Avenue SW.,
Washington, DC 20585, (202) 586–9478;
(202) 586–4523.
Edward Myers, Cassandra Bernstein,
U.S. Department of Energy, Office of the
Assistant General Counsel for Electricity
and Fossil Energy, Forrestal Building,
1000 Independence Avenue SW.,
Washington, DC 20585, (202) 586–3397,
(202) 586–9793.
SUPPLEMENTARY INFORMATION:
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Background
Applicant. Alaska LNG is a Delaware
Limited Liability Company with its
principal place of business in
Anchorage, Alaska. Alaska LNG states
that its current members are
ExxonMobil Alaska LNG LLC,
ConocoPhillips Alaska LNG Company,
and BP Alaska LNG LLC (collectively,
the Members). According to Alaska
LNG, affiliates of the Members currently
hold oil and gas leasehold interests in
Alaska, including in the Prudhoe Bay
and Point Thomson Units.3
Liquefaction Project. Alaska LNG
plans to construct one integrated,
interdependent Project. According to
Alaska LNG, the Project facilities will
include four main components: (i) A
Liquefaction Facility consisting of three
LNG trains with a total maximum
capacity of 20 mtpa, with storage and
LNG delivery facilities for the marine
3 Alaska LNG notes that, on May 8, 2014, Alaska
Governor Sean Parnell signed Senate Bill 138 into
law, enabling the State of Alaska to participate in
the Alaska LNG Project. Alaska LNG notes that it
may seek to amend the Application to add a State
of Alaska designee. See Alaska LNG App. at 3.
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loading of LNG; 4 (ii) an approximately
800-mile long, large-diameter gas
pipeline from the liquefaction facility to
the gas treatment plant, which will have
multiple compressor stations and at
least five off-take points for delivery of
gas to Alaska; (iii) a gas treatment plant
on the North Slope of Alaska consisting
of three or more amine processing/
treating train modules with
compression, dehydration, and chilling,
to be built in a modular fashion and
sealifted to its location; and (iv)
transmission lines between the gas
treatment plant and producing fields on
the North Slope. Alaska LNG states it
will be required to build each
component of this greenfield Project.
Alaska LNG states that the Project is
unique due to its significant size, scope,
costs, required upstream development,
and project development timeline.
Alaska LNG asserts that these factors
distinguish the Project from any LNG
export project in the lower 48 states.
According to Alaska LNG, the Project
would be the largest integrated gas and
LNG project of its kind ever designed
and constructed.
Current Application
Alaska LNG seeks long-term multicontract authorization to export LNG
produced from Alaska in a volume
equivalent to 929 Bcf/yr (2.55 Bcf/d) of
natural gas. Alaska LNG states that it
plans to export the LNG from the Project
to any non-FTA country with which
trade is not prohibited by U.S. law or
policy. Alaska LNG requests this
authorization for a 30-year term
commencing on the earlier of the date
of first export or 12 years from the date
the requested authorization is granted.
Business Model. Alaska LNG seeks to
export the requested LNG on its own
behalf and as agent for any or all of the
following: (i) Each of its Members; (ii)
the respective affiliates of its Members;
(iii) the State of Alaska or its nominee;
and (iv) other third parties, under
contracts to be executed in the future, as
applicable. Alaska LNG maintains that
the requested agency rights ‘‘would
encompass any exports of any State of
Alaska (or its nominee) share of LNG
from the Project facilities.’’ 5 Alaska
LNG contemplates that the title holder
at the point of export likely may be
another party, such as the respective
affiliates of its Members or other third
parties, pursuant to a LNG sales and
purchase contract.
Alaska LNG further states that it will
comply with all DOE/FE requirements
for exporters and agents as set forth in
recent DOE/FE orders, including
registering each LNG title holder for
whom Alaska LNG seeks to export as
agent. Alaska LNG states that this
registration will include a written
statement by the title holder
acknowledging and agreeing to comply
with all applicable requirements
included by DOE/FE in Alaska LNG’s
export authorization. Alaska LNG
further states that it will include those
requirements in a subsequent purchase
or sale agreement entered into by that
title holder. In addition, Alaska LNG
states that it will file under seal with
DOE/FE any relevant long-term
commercial agreements between Alaska
LNG and the LNG title holder, once
those agreements have been executed.
Export Term and Commencement of
Export Operations. Alaska LNG
maintains that the requested 30-year
export term and 12-year commencement
term are required to support the size of
this Project, as well as the continued
development of natural gas resources on
the North Slope. Alaska LNG
emphasizes the massive size, scope, and
cost of this ‘‘integrated mega-project.’’ 6
Alaska LNG estimates that the Project
will cost between $45 billion and $65
billion to construct, which it states is an
unprecedented investment warranting a
30-year export term, as opposed to the
20-year term that DOE/FE typically
authorizes for non-FTA LNG export
projects in the lower 48 states.7
Specifically, Alaska LNG notes that
DOE/FE’s reasoning for authorizing a
20-year export term for those projects
does not apply to this unique Alaska
Project.8 Alaska LNG further asserts that
a 30-year export term is supported by its
natural gas reserves and resources
estimates, is consistent with typical
industry design standards for the
Liquefaction Facility life, and will
provide long-term access to market
outlets needed to allow reasonable
ability to recover investments.
With respect to the requested 12-year
period for the commencement of export
operations, Alaska LNG notes that DOE/
FE typically requires export operations
in the lower 48 states to commence no
6 Id.
4 Alaska
LNG states that, to date, it has secured
more than 200 acres of land for the Project, nearly
half of the total acreage of the proposed
Liquefaction Facility site. A map of the Project and
an affidavit concerning the land acquired for the
Project is attached to the Application as
Appendices C and D, respectively.
5 Alaska LNG App. at 10.
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at 5, 40–41.
id. at 37–38 (citing DOE/FE final and
conditional orders granted to LNG export projects
in the lower 48 states); see also id. at 10.
8 See id. at 38–39 (asserting that this Project is not
subject to the same authorization constraints based
on the 2012 LNG Export Study commissioned by
DOE/FE, which focused on non-FTA export projects
in the lower 48 states).
7 See
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later than seven years from the date the
authorization is issued. It stresses,
however, that construction of the Project
will take place in unique Arctic
construction conditions. In particular,
Alaska LNG points to the challenges of
moving equipment and a workforce over
long distances in the extreme Arctic
conditions, as well as the limitations in
the construction timeline caused by the
unpredictable Artic weather conditions.
Alaska LNG maintains that, due to its
complexity, the Project will require a
Pre-Front End Engineering Design
(FEED) phase of between one to three
years, in addition to the typical FEED
phase. Alaska LNG also highlights the
expansive scope of the Project, which it
anticipates, will lengthen the
environmental review and permitting
timelines under the National
Environmental Policy Act (NEPA), 42
U.S.C. 4321 et seq. In sum, Alaska LNG
states that these Artic construction
conditions, coupled with inherently
longer upstream resource development
periods and other factors, necessitate
both a longer export term and start-up
period.
Application Processing and Request
for Conditional Authorization. Alaska
LNG contends that, due to the unique
nature of the proposed Project and the
geographically separate supply base in
Alaska, the Application should be
processed differently than applications
for LNG export projects proposed in the
lower 48 states. Alaska LNG maintains
that DOE/FE has consistently treated
applications to export LNG from Alaska
differently from lower 48 applications.9
Alaska LNG contends that the many
unique features of the Project warrant
exercise of DOE/FE’s discretion to issue
a conditional decision on the
Application. Therefore, Alaska LNG
requests that the Application not be
subject to any procedures recently
proposed or adopted by DOE/FE
regarding its processing of non-FTA
LNG export applications.10 In this
regard, we note that DOE/FE’s revised
procedures for acting on non-FTA LNG
export applications are now in effect,
but they ‘‘apply only to exports from the
lower-48 states.’’ 11 In the notice
9 Alaska LNG App. at 7 n.17 (citing DOE/FE
orders, including ConocoPhillips Alaska Natural
Gas Corp., DOE/FE Order No. 3418, Order Granting
Blanket Authorization to Export Liquefied Natural
Gas by Vessel from the Kenai LNG Facility Near
Kenai, Alaska to Non-Free Trade Agreement
Nations, at 5 (Apr. 14, 2014)).
10 See id. at 5 (discussing DOE/FE’s proposed
notice to revise the Order of Precedence for
Processing Non-FTA Export Applications, 79 FR
32,261 (June 4, 2014)).
11 Dep’t of Energy, Procedures for Liquefied
Natural Gas Export Decisions, 79 FR 48,132, 48,135
n.6 (Aug. 15, 2014) (stating that, for applications to
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finalizing the revised procedures, DOE/
FE made clear that it ‘‘will consider
whether to issue a conditional decision
on [the Alaska LNG] application, or any
future application to export from
Alaska, in the context of those
proceedings.’’ 12
In asserting that the Project is unlike
any export project in the lower 48 states
and should be processed differently,
Alaska LNG highlights the estimated
cost and scope of the Project. It
emphasizes that all components of the
Project must be built, meaning that the
Project cannot leverage an extensive
existing gas grid. Lastly, Alaska LNG
maintains that because Alaska and its
supply of natural gas are geographically
isolated from the lower 48 states, the
Application stands on its own merits
without regard to the cumulative
impacts of LNG exports from the lower
48 states and should be processed as
such.
Export Sources. Alaska LNG seeks
authorization to export natural gas from
Alaska, in particular from the North
Slope Point Thomson Unit and Prudhoe
Bay Unit production fields. According
to Alaska LNG, affiliates of Members of
Alaska LNG are leaseholders of natural
gas resources in Alaska, thus providing
the Project with access to natural gas.
Alaska LNG expects that the natural gas
developed and produced by the
respective affiliates of its Members will
be delivered to the Liquefaction Facility
where LNG will be produced and made
available for export.
Public Interest Considerations
Alaska LNG contends that the
Application fully addresses each of the
public interest criteria considered by
DOE/FE in the context of an Alaskabased project, and that the proposed
export is not inconsistent with the
public interest. In support of the
Application, Alaska LNG addresses the
following six criteria:
Domestic Need for the Natural Gas
Proposed to be Exported—Regional.
According to Alaska LNG, DOE/FE has
recognized that Alaska is geographically
isolated from the lower 48 states and,
therefore, its natural gas reserves and
resources should be analyzed
separately. Alaska LNG asserts that the
estimated recoverable natural gas
reserves and resources in Alaska are
abundant and more than sufficient to
meet demand for both Alaska in-state
consumption and Alaska LNG’s
proposed export over the 30-year export
export LNG from the lower 48 states to non-FTA
countries, DOE/FE is suspending its practice of
issuing conditional decisions prior to final
authorization decisions).
12 Id. at 48,135 n.6.
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term. Based on the studies and analyses
provided in the Application,13 Alaska
LNG contends that the proposed export
authorization will not have a
detrimental impact on the regional
domestic supply of natural gas. Alaska
LNG further asserts that the proposed
exports will have positive market and
macroeconomic impacts on Alaska and
the United States as a whole.
Impact of the Proposed Exports on
Natural Gas Market Prices. Citing the
Socio-Economic Report prepared by
NERA Economic Consulting in support
of the Application, Alaska LNG states
that the Project would lead to lower
natural gas prices in Alaska. Alaska
LNG points to NERA’s determination
that, by model year 2048, the Alaska
market price of natural gas is $5.02/
MMBtu lower in the Expected Demand
scenario with LNG exports than in the
Baseline with no LNG exports, a 39
percent price difference.14
Presidential Finding Concerning
Alaska Natural Gas. Alaska LNG
addresses Section 12 of the Alaska
Natural Gas Transportation Act
(ANGTA), which states that ‘‘before any
Alaska natural gas in excess of 1,000
Mcf [thousand cubic feet] per day may
be exported to any nation other that
Canada or Mexico, the President must
make and publish an express finding
that such exports will not diminish the
total quantity or quality nor increase the
total price of energy available to the
United States.’’ 15 Alaska LNG states that
President Ronald Reagan issued such a
finding in 1988, concluding ‘‘ ‘that
exports of Alaska natural gas in
quantities in excess of 1,000 Mcf per
day will not diminish the total quantity
or quality nor increase the total price of
energy available to the United
States.’ ’’ 16
Alaska LNG contends that this 1988
Presidential Finding is not limited in
scope to a particular project or time
period. Rather, the Finding expressly
‘‘ ‘remove[d] the [ANGTA] Section 12
regulatory impediment to Alaskan
natural gas exports in a manner that
allows any private party to develop this
13 See, e.g., DeGolyer and MacNaughton, ‘‘Report
on a Study of Alaska Gas Reserves and Resources
for Certain Gas Supply Scenarios as of Dec. 31,
2012’’ (Apr. 2014) (Supply Report), attached to the
Application as Appendix E; NERA Economic
Consulting, ‘‘Socio-Economic Impact Analysis of
Alaska LNG Project’’ (June 19, 2014) (SocioEconomic Report), attached to the Application as
Appendix F.
14 NERA Economic Consulting, ‘‘Socio-Economic
Impact Analysis of Alaska LNG Project’’ (SocioEconomic Report), June 19, 2014.
15 15 U.S.C. 719j.
16 Alaska LNG App. at 27 (quoting Presidential
Finding Concerning Alaska Natural Gas, 53 FR 999
(Jan. 15, 1988)).
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resource and sets up competition for
this purpose.’ ’’ 17 According to the
Presidential Finding, ‘‘removal of this
impediment . . . will benefit our entire
Nation.’’ 18
Alaska LNG notes that, although the
Presidential Finding was issued in the
context of earlier efforts to develop the
vast natural gas resources on the North
Slope (specifically, the Yukon Pacific
project),19 its broad language applies
equally to Alaska LNG’s Application to
develop these same resources.
According to Alaska LNG, the Yukon
Pacific project bears remarkable
similarities to its proposed Project.
Further, in the Yukon Pacific
proceeding, DOE/FE concluded that the
Presidential Finding ‘‘ ‘removed the
section 12 impediment to exports of
North Slope natural gas,’ ’’ and is a
‘‘ ‘generic finding’ ’’ that DOE/FE could
apply to the facts of the case.20
Alaska LNG maintains that the facts of
today’s natural gas landscape support
the continued validity of the
Presidential Finding. Therefore, Alaska
LNG asserts that the Presidential
Finding is valid and applicable to this
Project, and that the requirement of
ANGTA Section 12 has been satisfied.
Economic Benefits. Alaska LNG
maintains that the requested
authorization will benefit local,
regional, and national economies and is
not inconsistent with the public
interest. According to Alaska LNG, the
proposed export would make natural
gas, otherwise stranded on the North
Slope, available to both the global LNG
market and Alaska in-state markets.
Alaska LNG also asserts that the Project
will create new jobs and opportunities
for American workers, is consistent with
President Obama’s National Export
Initiative,21 and will improve the U.S.
balance of trade.
Benefits to National Energy Security.
Alaska LNG maintains that the LNG
exports associated with the requested
authorization will support U.S. energy
security. Alaska LNG points to DOE/
FE’s findings on national energy
security in recent non-FTA LNG export
proceedings and to the Socio-Economic
Report, which analyzes the impact of
natural gas exports on enhancing energy
security using the metrics of supply
17 Id. at 27–28 (quoting Presidential Finding, 53
Fed. Reg. 999).
18 Presidential Finding, 53 FR 999.
19 See id. at 28 (citing Yukon Pacific Corp., ERA
Docket No. 87–68–LNG, Order No. 350 (Nov. 16,
1989)).
20 Alaska LNG App. at 29–30 (quoting Yukon
Pacific Corp., Order No. 350, at 7, 27).
21 Exec. Order 13534, 75 FR 12,433 (Mar. 11,
2010).
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assurance, price stability, and foreign
policy.
Environmental Benefits. Alaska LNG
maintains that LNG exports significantly
benefit the environment because natural
gas is cleaner burning than other fossil
fuels. According to Alaska LNG, an
increased supply of natural gas made
possible through LNG exports can help
countries reduce their reliance on less
environmentally friendly fuels. To the
extent its proposed exports are used by
foreign countries as a substitute for coal
and fuel oil, Alaska LNG maintains that
its exports would reduce emissions
significantly over the 30-year export
term.
Based on these factors, Alaska LNG
maintains that the proposed exports are
not inconsistent with the public
interest. Additional details can be found
in Alaska LNG’s Application, which is
posted on the DOE/FE Web site at:
https://energy.gov/fe/downloads/alaskalng-project-llc-14-96-lng.
Environmental Impact
Alaska LNG requests that DOE/FE
grant its request to export LNG to nonFTA countries conditioned on FERC’s
completion of the NEPA review and
approval of Project construction. Alaska
LNG notes that it has been standard
practice for DOE/FE to complete its
NEPA review as a cooperating agency in
FERC’s review of proposed export
facilities. Alaska LNG further states that
it will seek any necessary permits from
other federal, state, and local agencies,
as well as conduct any necessary
consultations. Alaska LNG notes that it
expects to commence FERC’s pre-filing
process in 2014.
DOE/FE Evaluation
The Application will be reviewed
pursuant to section 3(a) of the NGA, 15
U.S.C. 717b(a). In reviewing this LNG
export Application, DOE will consider
issues required by law or policy. To the
extent determined to be relevant or
appropriate, DOE/FE’s review will
include the impact of LNG exports
associated with this Application on
Alaskan regional domestic need for the
natural gas proposed for export,
adequacy of domestic natural gas supply
in Alaska, and other issues, including
whether the arrangement is consistent
with DOE’s policy of promoting
competition in the marketplace by
allowing commercial parties to freely
negotiate their own trade arrangements.
Parties that may oppose the Application
should address these issues in their
comments and/or protests, as well as
other issues deemed relevant to the
Application.
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Interested persons will be provided 60
days from the date of publication of this
Notice in which to submit comments,
protests, motions to intervene, notices of
intervention, or motions for additional
procedures.
Public Comment Procedures
In response to this Notice, any person
may file a protest, comments, or a
motion to intervene or notice of
intervention, as applicable. Any person
wishing to become a party to the
proceeding must file a motion to
intervene or notice of intervention, as
applicable. The filing of comments or a
protest with respect to the Application
will not serve to make the commenter or
protestant a party to the proceeding,
although protests and comments
received from persons who are not
parties will be considered in
determining the appropriate action to be
taken on the Application. All protests,
comments, motions to intervene, or
notices of intervention must meet the
requirements specified by the
regulations in 10 CFR Part 590.
Filings may be submitted using one of
the following methods: (1) Emailing the
filing to fergas@hq.doe.gov with FE
Docket No. 14–96–LNG in the title line;
(2) mailing an original and three paper
copies of the filing to the Office of Oil
and Gas Global Security and Supply at
the address listed in ADDRESSES; or (3)
hand delivering an original and three
paper copies of the filing to the Office
of Oil and Gas Global Security and
Supply at the address listed in
ADDRESSES before 4:30 p.m. EST. All
filings must include a reference to FE
Docket No. 14–96–LNG. Please Note: If
submitting a filing via email, please
include all related documents and
attachments (e.g., exhibits) in the
original email correspondence. Please
do not include any active hyperlinks or
password protection in any of the
documents or attachments related to the
filing. All electronic filings submitted to
DOE must follow these guidelines to
ensure that all documents are filed in a
timely manner. Any hardcopy filing
submitted greater in length than 50
pages must also include, at the time of
the filing, a digital copy on disk of the
entire submission.
A decisional record on the
Application will be developed through
responses to this notice by parties,
including the parties’ written comments
and replies thereto. Additional
procedures will be used as necessary to
achieve a complete understanding of the
facts and issues. A party seeking
intervention may request that additional
procedures be provided, such as
additional written comments, an oral
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presentation, a conference, or trial-type
hearing. Any request to file additional
written comments should explain why
they are necessary. Any request for an
oral presentation should identify the
substantial question of fact, law, or
policy at issue, show that it is material
and relevant to a decision in the
proceeding, and demonstrate why an
oral presentation is needed. Any request
for a conference should demonstrate
why the conference would materially
advance the proceeding. Any request for
a trial-type hearing must show that there
are factual issues genuinely in dispute
that are relevant and material to a
decision, and that a trial-type hearing is
necessary for a full and true disclosure
of the facts.
If an additional procedure is
scheduled, notice will be provided to all
parties. If no party requests additional
procedures, a final Opinion and Order
may be issued based on the official
record, including the Application and
responses filed by parties pursuant to
this notice, in accordance with 10 CFR
590.316.
The Application is available for
inspection and copying in the Division
of Natural Gas Regulatory Activities
docket room, Room 3E–042, 1000
Independence Avenue SW.,
Washington, DC 20585. The docket
room is open between the hours of 8:00
a.m. and 4:30 p.m., Monday through
Friday, except Federal holidays. The
Application and any filed protests,
motions to intervene or notice of
interventions, and comments will also
be available electronically by going to
the following DOE/FE Web address:
https://www.fe.doe.gov/programs/
gasregulation/.
Issued in Washington, DC, on September
11, 2014.
Lisa C. Tracy,
Acting Director, Division of Natural Gas
Regulatory Activities, Office of Oil and Gas
Global Security and Supply, Office of Oil
and Natural Gas.
[FR Doc. 2014–22226 Filed 9–16–14; 8:45 am]
BILLING CODE 6450–01–P
DEPARTMENT OF ENERGY
mstockstill on DSK4VPTVN1PROD with NOTICES
Environmental Management SiteSpecific Advisory Board, Oak Ridge
Reservation
Department of Energy.
Notice of open meeting.
AGENCY:
ACTION:
This notice announces a
meeting of the Environmental
Management Site-Specific Advisory
Board (EM SSAB), Oak Ridge
Reservation. The Federal Advisory
SUMMARY:
VerDate Sep<11>2014
18:24 Sep 16, 2014
Jkt 232001
Committee Act (Pub. L. 92–463, 86 Stat.
770) requires that public notice of this
meeting be announced in the Federal
Register.
DATES: Wednesday, October 8, 2014;
6:00 p.m.
ADDRESSES: Department of Energy
Information Center, Office of Science
and Technical Information, 1
Science.gov Way, Oak Ridge, Tennessee
37830.
FOR FURTHER INFORMATION CONTACT:
Melyssa P. Noe, Federal Coordinator,
Department of Energy Oak Ridge
Operations Office, P.O. Box 2001, EM–
90, Oak Ridge, TN 37831. Phone (865)
241–3315; Fax (865) 576–0956 or email:
noemp@emor.doe.gov or check the Web
site at https://energy.gov/orem/services/
community-engagement/oak-ridge-sitespecific-advisory-board.
SUPPLEMENTARY INFORMATION:
Purpose of the Board: The purpose of
the Board is to make recommendations
to DOE–EM and site management in the
areas of environmental restoration,
waste management, and related
activities.
Tentative Agenda
• Welcome and Announcements
• Comments from the Deputy
Designated Federal Officer
• Comments from the DOE, Tennessee
Department of Environment and
Conservation, and Environmental
Protection Agency Liaisons
• Public Comment Period
• Presentation
• Additions/Approval of Agenda
• Motions/Approval of September 10,
2014 meeting minutes
• Status of Recommendations with DOE
• Committee Reports
• Federal Coordinator Report
• Adjourn
Public Participation: The EM SSAB,
Oak Ridge, welcomes the attendance of
the public at its advisory committee
meetings and will make every effort to
accommodate persons with physical
disabilities or special needs. If you
require special accommodations due to
a disability, please contact Melyssa P.
Noe at least seven days in advance of
the meeting at the phone number listed
above. Written statements may be filed
with the Board either before or after the
meeting. Individuals who wish to make
oral statements pertaining to the agenda
item should contact Melyssa P. Noe at
the address or telephone number listed
above. Requests must be received five
days prior to the meeting and reasonable
provision will be made to include the
presentation in the agenda. The Deputy
Designated Federal Officer is
empowered to conduct the meeting in a
PO 00000
Frm 00025
Fmt 4703
Sfmt 4703
fashion that will facilitate the orderly
conduct of business. Individuals
wishing to make public comments will
be provided a maximum of five minutes
to present their comments.
Minutes: Minutes will be available by
writing or calling Melyssa P. Noe at the
address and phone number listed above.
Minutes will also be available at the
following Web site: https://energy.gov/
orem/services/community-engagement/
oak-ridge-site-specific-advisory-board.
Issued at Washington, DC, on September
12, 2014.
LaTanya R. Butler,
Deputy Committee Management Officer.
[FR Doc. 2014–22194 Filed 9–16–14; 8:45 am]
BILLING CODE 6450–01–P
DEPARTMENT OF ENERGY
Commission To Review the
Effectiveness of the National Energy
Laboratories
Department of Energy.
Notice of open meeting.
AGENCY:
ACTION:
This notice announces an
open meeting of the Commission to
Review the Effectiveness of the National
Energy Laboratories (Commission). The
Commission was created pursuant
section 319 of the Consolidated
Appropriations Act, 2014, Public Law
113–76, and in accordance with the
provisions of the Federal Advisory
Committee Act (FACA), as amended, 5
U.S.C. App. 2. This notice is provided
in accordance with the Act.
DATES: Monday, October 6, 2014; 10:30
a.m.–4:00 p.m.
ADDRESSES: Institute for Defense
Analyses, Room 1301, 4850 Mark Center
Drive, Alexandria, VA 22311.
FOR FURTHER INFORMATION CONTACT:
Karen Gibson, Designated Federal
Officer, U.S. Department of Energy,
1000 Independence Avenue SW.,
Washington, DC 20585; telephone (202)
586–3787; email crenel@hq.doe.gov.
SUPPLEMENTARY INFORMATION:
Background: The Commission was
established to provide advice to the
Secretary on the Department’s National
Laboratories. The Commission will
review the National Energy Laboratories
for alignment with the Department’s
strategic priorities, clear and balanced
missions, unique capabilities to meet
current energy and national security
challenges, appropriate size to meet the
Department’s energy and national
security missions, and support of other
Federal agencies. The Commission will
also look for opportunities to more
effectively and efficiently use the
SUMMARY:
E:\FR\FM\17SEN1.SGM
17SEN1
Agencies
[Federal Register Volume 79, Number 180 (Wednesday, September 17, 2014)]
[Notices]
[Pages 55764-55768]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-22226]
=======================================================================
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DEPARTMENT OF ENERGY
[FE Docket No. 14-96-LNG]
Alaska LNG Project LLC; Application for Long-Term Authorization
To Export Liquefied Natural Gas Produced From Domestic Natural Gas
Resources to Non-Free Trade Agreement Countries for a 30-Year Period
AGENCY: Office of Fossil Energy, DOE.
ACTION: Notice of application.
-----------------------------------------------------------------------
SUMMARY: The Office of Fossil Energy (FE) of the Department of Energy
(DOE) gives notice of receipt of an application (Application) filed on
July 18, 2014, by Alaska LNG Project LLC (Alaska LNG), requesting long-
term multi-contract authorization to export 20 million metric tons per
annum (mtpa) of liquefied natural gas (LNG) produced from Alaskan
sources in a volume equivalent to approximately 929 billion cubic feet
per year (Bcf/yr) of natural gas, or approximately 2.55 Bcf per day
(Bcf/d).\1\ Alaska LNG seeks authorization to export the LNG by vessel
from a proposed Liquefaction Facility to be constructed in the Nikiski
area of the Kenai Peninsula in south central Alaska (Project), 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).\2\ Alaska LNG requests this authorization for a 30-year
term to commence on the earlier of the date of first export or 12 years
from the date the requested authorization is granted. Alaska LNG seeks
to export the LNG on its own behalf and as agent for other parties who
hold title to the LNG at the time of export. The Application was filed
under section 3 of the Natural Gas Act (NGA).
---------------------------------------------------------------------------
\1\ Alaska LNG states that the conversion factor of 46.467 Bcf
per million metric ton is appropriate due to the relatively high
heating content (Btu/cubic foot gas) and associated physical
characteristics of LNG produced from Alaska sources. According to
Alaska LNG, the conversion factors used in applications to export
LNG from the lower 48 states of the United States are not applicable
in this proceeding.
\2\ In the Application, Alaska LNG also requests authorization
to export LNG to any nation that currently has, or in the future may
enter into, a FTA requiring national treatment for trade in natural
gas (FTA countries). DOE/FE will review Alaska LNG's request for a
FTA export authorization separately pursuant to NGA Sec. 3(c), 15
U.S.C. 717b(c). Alaska LNG notes that the total volume requested in
the Application (20 mtpa) represents LNG in an aggregate amount for
export to both non-FTA and FTA countries.
DATES: Protests, motions to intervene or notices of intervention, as
applicable, requests for additional procedures, and
[[Page 55765]]
written comments are to be filed using procedures detailed in the
Public Comment Procedures section no later than 4:30 p.m., Eastern
---------------------------------------------------------------------------
time, November 17, 2014.
ADDRESSES: Electronic Filing by email: fergas@hq.doe.gov.
Regular Mail: U.S. Department of Energy (FE-34), Office of Oil and
Gas Global Security and Supply, Office of Fossil Energy, P.O. Box
44375, Washington, DC 20026-4375.
Hand Delivery or Private Delivery Services (e.g., FedEx, UPS,
etc.): U.S. Department of Energy (FE-34), Office of Oil and Gas Global
Security and Supply, Office of Fossil Energy, Forrestal Building, Room
3E-042, 1000 Independence Avenue SW., Washington, DC 20585.
FOR FURTHER INFORMATION CONTACT: Larine Moore or Lisa Tracy, U.S.
Department of Energy (FE-34), Office of Oil and Gas Global Security and
Supply, Office of Fossil Energy, Forrestal Building, Room 3E-042, 1000
Independence Avenue SW., Washington, DC 20585, (202) 586-9478; (202)
586-4523.
Edward Myers, Cassandra Bernstein, U.S. Department of Energy,
Office of the Assistant General Counsel for Electricity and Fossil
Energy, Forrestal Building, 1000 Independence Avenue SW., Washington,
DC 20585, (202) 586-3397, (202) 586-9793.
SUPPLEMENTARY INFORMATION:
Background
Applicant. Alaska LNG is a Delaware Limited Liability Company with
its principal place of business in Anchorage, Alaska. Alaska LNG states
that its current members are ExxonMobil Alaska LNG LLC, ConocoPhillips
Alaska LNG Company, and BP Alaska LNG LLC (collectively, the Members).
According to Alaska LNG, affiliates of the Members currently hold oil
and gas leasehold interests in Alaska, including in the Prudhoe Bay and
Point Thomson Units.\3\
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\3\ Alaska LNG notes that, on May 8, 2014, Alaska Governor Sean
Parnell signed Senate Bill 138 into law, enabling the State of
Alaska to participate in the Alaska LNG Project. Alaska LNG notes
that it may seek to amend the Application to add a State of Alaska
designee. See Alaska LNG App. at 3.
---------------------------------------------------------------------------
Liquefaction Project. Alaska LNG plans to construct one integrated,
interdependent Project. According to Alaska LNG, the Project facilities
will include four main components: (i) A Liquefaction Facility
consisting of three LNG trains with a total maximum capacity of 20
mtpa, with storage and LNG delivery facilities for the marine loading
of LNG; \4\ (ii) an approximately 800-mile long, large-diameter gas
pipeline from the liquefaction facility to the gas treatment plant,
which will have multiple compressor stations and at least five off-take
points for delivery of gas to Alaska; (iii) a gas treatment plant on
the North Slope of Alaska consisting of three or more amine processing/
treating train modules with compression, dehydration, and chilling, to
be built in a modular fashion and sealifted to its location; and (iv)
transmission lines between the gas treatment plant and producing fields
on the North Slope. Alaska LNG states it will be required to build each
component of this greenfield Project.
---------------------------------------------------------------------------
\4\ Alaska LNG states that, to date, it has secured more than
200 acres of land for the Project, nearly half of the total acreage
of the proposed Liquefaction Facility site. A map of the Project and
an affidavit concerning the land acquired for the Project is
attached to the Application as Appendices C and D, respectively.
---------------------------------------------------------------------------
Alaska LNG states that the Project is unique due to its significant
size, scope, costs, required upstream development, and project
development timeline. Alaska LNG asserts that these factors distinguish
the Project from any LNG export project in the lower 48 states.
According to Alaska LNG, the Project would be the largest integrated
gas and LNG project of its kind ever designed and constructed.
Current Application
Alaska LNG seeks long-term multi-contract authorization to export
LNG produced from Alaska in a volume equivalent to 929 Bcf/yr (2.55
Bcf/d) of natural gas. Alaska LNG states that it plans to export the
LNG from the Project to any non-FTA country with which trade is not
prohibited by U.S. law or policy. Alaska LNG requests this
authorization for a 30-year term commencing on the earlier of the date
of first export or 12 years from the date the requested authorization
is granted.
Business Model. Alaska LNG seeks to export the requested LNG on its
own behalf and as agent for any or all of the following: (i) Each of
its Members; (ii) the respective affiliates of its Members; (iii) the
State of Alaska or its nominee; and (iv) other third parties, under
contracts to be executed in the future, as applicable. Alaska LNG
maintains that the requested agency rights ``would encompass any
exports of any State of Alaska (or its nominee) share of LNG from the
Project facilities.'' \5\ Alaska LNG contemplates that the title holder
at the point of export likely may be another party, such as the
respective affiliates of its Members or other third parties, pursuant
to a LNG sales and purchase contract.
---------------------------------------------------------------------------
\5\ Alaska LNG App. at 10.
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Alaska LNG further states that it will comply with all DOE/FE
requirements for exporters and agents as set forth in recent DOE/FE
orders, including registering each LNG title holder for whom Alaska LNG
seeks to export as agent. Alaska LNG states that this registration will
include a written statement by the title holder acknowledging and
agreeing to comply with all applicable requirements included by DOE/FE
in Alaska LNG's export authorization. Alaska LNG further states that it
will include those requirements in a subsequent purchase or sale
agreement entered into by that title holder. In addition, Alaska LNG
states that it will file under seal with DOE/FE any relevant long-term
commercial agreements between Alaska LNG and the LNG title holder, once
those agreements have been executed.
Export Term and Commencement of Export Operations. Alaska LNG
maintains that the requested 30-year export term and 12-year
commencement term are required to support the size of this Project, as
well as the continued development of natural gas resources on the North
Slope. Alaska LNG emphasizes the massive size, scope, and cost of this
``integrated mega-project.'' \6\ Alaska LNG estimates that the Project
will cost between $45 billion and $65 billion to construct, which it
states is an unprecedented investment warranting a 30-year export term,
as opposed to the 20-year term that DOE/FE typically authorizes for
non-FTA LNG export projects in the lower 48 states.\7\ Specifically,
Alaska LNG notes that DOE/FE's reasoning for authorizing a 20-year
export term for those projects does not apply to this unique Alaska
Project.\8\ Alaska LNG further asserts that a 30-year export term is
supported by its natural gas reserves and resources estimates, is
consistent with typical industry design standards for the Liquefaction
Facility life, and will provide long-term access to market outlets
needed to allow reasonable ability to recover investments.
---------------------------------------------------------------------------
\6\ Id. at 5, 40-41.
\7\ See id. at 37-38 (citing DOE/FE final and conditional orders
granted to LNG export projects in the lower 48 states); see also id.
at 10.
\8\ See id. at 38-39 (asserting that this Project is not subject
to the same authorization constraints based on the 2012 LNG Export
Study commissioned by DOE/FE, which focused on non-FTA export
projects in the lower 48 states).
---------------------------------------------------------------------------
With respect to the requested 12-year period for the commencement
of export operations, Alaska LNG notes that DOE/FE typically requires
export operations in the lower 48 states to commence no
[[Page 55766]]
later than seven years from the date the authorization is issued. It
stresses, however, that construction of the Project will take place in
unique Arctic construction conditions. In particular, Alaska LNG points
to the challenges of moving equipment and a workforce over long
distances in the extreme Arctic conditions, as well as the limitations
in the construction timeline caused by the unpredictable Artic weather
conditions. Alaska LNG maintains that, due to its complexity, the
Project will require a Pre-Front End Engineering Design (FEED) phase of
between one to three years, in addition to the typical FEED phase.
Alaska LNG also highlights the expansive scope of the Project, which it
anticipates, will lengthen the environmental review and permitting
timelines under the National Environmental Policy Act (NEPA), 42 U.S.C.
4321 et seq. In sum, Alaska LNG states that these Artic construction
conditions, coupled with inherently longer upstream resource
development periods and other factors, necessitate both a longer export
term and start-up period.
Application Processing and Request for Conditional Authorization.
Alaska LNG contends that, due to the unique nature of the proposed
Project and the geographically separate supply base in Alaska, the
Application should be processed differently than applications for LNG
export projects proposed in the lower 48 states. Alaska LNG maintains
that DOE/FE has consistently treated applications to export LNG from
Alaska differently from lower 48 applications.\9\
---------------------------------------------------------------------------
\9\ Alaska LNG App. at 7 n.17 (citing DOE/FE orders, including
ConocoPhillips Alaska Natural Gas Corp., DOE/FE Order No. 3418,
Order Granting Blanket Authorization to Export Liquefied Natural Gas
by Vessel from the Kenai LNG Facility Near Kenai, Alaska to Non-Free
Trade Agreement Nations, at 5 (Apr. 14, 2014)).
---------------------------------------------------------------------------
Alaska LNG contends that the many unique features of the Project
warrant exercise of DOE/FE's discretion to issue a conditional decision
on the Application. Therefore, Alaska LNG requests that the Application
not be subject to any procedures recently proposed or adopted by DOE/FE
regarding its processing of non-FTA LNG export applications.\10\ In
this regard, we note that DOE/FE's revised procedures for acting on
non-FTA LNG export applications are now in effect, but they ``apply
only to exports from the lower-48 states.'' \11\ In the notice
finalizing the revised procedures, DOE/FE made clear that it ``will
consider whether to issue a conditional decision on [the Alaska LNG]
application, or any future application to export from Alaska, in the
context of those proceedings.'' \12\
---------------------------------------------------------------------------
\10\ See id. at 5 (discussing DOE/FE's proposed notice to revise
the Order of Precedence for Processing Non-FTA Export Applications,
79 FR 32,261 (June 4, 2014)).
\11\ Dep't of Energy, Procedures for Liquefied Natural Gas
Export Decisions, 79 FR 48,132, 48,135 n.6 (Aug. 15, 2014) (stating
that, for applications to export LNG from the lower 48 states to
non-FTA countries, DOE/FE is suspending its practice of issuing
conditional decisions prior to final authorization decisions).
\12\ Id. at 48,135 n.6.
---------------------------------------------------------------------------
In asserting that the Project is unlike any export project in the
lower 48 states and should be processed differently, Alaska LNG
highlights the estimated cost and scope of the Project. It emphasizes
that all components of the Project must be built, meaning that the
Project cannot leverage an extensive existing gas grid. Lastly, Alaska
LNG maintains that because Alaska and its supply of natural gas are
geographically isolated from the lower 48 states, the Application
stands on its own merits without regard to the cumulative impacts of
LNG exports from the lower 48 states and should be processed as such.
Export Sources. Alaska LNG seeks authorization to export natural
gas from Alaska, in particular from the North Slope Point Thomson Unit
and Prudhoe Bay Unit production fields. According to Alaska LNG,
affiliates of Members of Alaska LNG are leaseholders of natural gas
resources in Alaska, thus providing the Project with access to natural
gas. Alaska LNG expects that the natural gas developed and produced by
the respective affiliates of its Members will be delivered to the
Liquefaction Facility where LNG will be produced and made available for
export.
Public Interest Considerations
Alaska LNG contends that the Application fully addresses each of
the public interest criteria considered by DOE/FE in the context of an
Alaska-based project, and that the proposed export is not inconsistent
with the public interest. In support of the Application, Alaska LNG
addresses the following six criteria:
Domestic Need for the Natural Gas Proposed to be Exported--
Regional. According to Alaska LNG, DOE/FE has recognized that Alaska is
geographically isolated from the lower 48 states and, therefore, its
natural gas reserves and resources should be analyzed separately.
Alaska LNG asserts that the estimated recoverable natural gas reserves
and resources in Alaska are abundant and more than sufficient to meet
demand for both Alaska in-state consumption and Alaska LNG's proposed
export over the 30-year export term. Based on the studies and analyses
provided in the Application,\13\ Alaska LNG contends that the proposed
export authorization will not have a detrimental impact on the regional
domestic supply of natural gas. Alaska LNG further asserts that the
proposed exports will have positive market and macroeconomic impacts on
Alaska and the United States as a whole.
---------------------------------------------------------------------------
\13\ See, e.g., DeGolyer and MacNaughton, ``Report on a Study of
Alaska Gas Reserves and Resources for Certain Gas Supply Scenarios
as of Dec. 31, 2012'' (Apr. 2014) (Supply Report), attached to the
Application as Appendix E; NERA Economic Consulting, ``Socio-
Economic Impact Analysis of Alaska LNG Project'' (June 19, 2014)
(Socio-Economic Report), attached to the Application as Appendix F.
---------------------------------------------------------------------------
Impact of the Proposed Exports on Natural Gas Market Prices. Citing
the Socio-Economic Report prepared by NERA Economic Consulting in
support of the Application, Alaska LNG states that the Project would
lead to lower natural gas prices in Alaska. Alaska LNG points to NERA's
determination that, by model year 2048, the Alaska market price of
natural gas is $5.02/MMBtu lower in the Expected Demand scenario with
LNG exports than in the Baseline with no LNG exports, a 39 percent
price difference.\14\
---------------------------------------------------------------------------
\14\ NERA Economic Consulting, ``Socio-Economic Impact Analysis
of Alaska LNG Project'' (Socio-Economic Report), June 19, 2014.
---------------------------------------------------------------------------
Presidential Finding Concerning Alaska Natural Gas. Alaska LNG
addresses Section 12 of the Alaska Natural Gas Transportation Act
(ANGTA), which states that ``before any Alaska natural gas in excess of
1,000 Mcf [thousand cubic feet] per day may be exported to any nation
other that Canada or Mexico, the President must make and publish an
express finding that such exports will not diminish the total quantity
or quality nor increase the total price of energy available to the
United States.'' \15\ Alaska LNG states that President Ronald Reagan
issued such a finding in 1988, concluding `` `that exports of Alaska
natural gas in quantities in excess of 1,000 Mcf per day will not
diminish the total quantity or quality nor increase the total price of
energy available to the United States.' '' \16\
---------------------------------------------------------------------------
\15\ 15 U.S.C. 719j.
\16\ Alaska LNG App. at 27 (quoting Presidential Finding
Concerning Alaska Natural Gas, 53 FR 999 (Jan. 15, 1988)).
---------------------------------------------------------------------------
Alaska LNG contends that this 1988 Presidential Finding is not
limited in scope to a particular project or time period. Rather, the
Finding expressly `` `remove[d] the [ANGTA] Section 12 regulatory
impediment to Alaskan natural gas exports in a manner that allows any
private party to develop this
[[Page 55767]]
resource and sets up competition for this purpose.' '' \17\ According
to the Presidential Finding, ``removal of this impediment . . . will
benefit our entire Nation.'' \18\
---------------------------------------------------------------------------
\17\ Id. at 27-28 (quoting Presidential Finding, 53 Fed. Reg.
999).
\18\ Presidential Finding, 53 FR 999.
---------------------------------------------------------------------------
Alaska LNG notes that, although the Presidential Finding was issued
in the context of earlier efforts to develop the vast natural gas
resources on the North Slope (specifically, the Yukon Pacific
project),\19\ its broad language applies equally to Alaska LNG's
Application to develop these same resources. According to Alaska LNG,
the Yukon Pacific project bears remarkable similarities to its proposed
Project. Further, in the Yukon Pacific proceeding, DOE/FE concluded
that the Presidential Finding `` `removed the section 12 impediment to
exports of North Slope natural gas,' '' and is a `` `generic finding'
'' that DOE/FE could apply to the facts of the case.\20\
---------------------------------------------------------------------------
\19\ See id. at 28 (citing Yukon Pacific Corp., ERA Docket No.
87-68-LNG, Order No. 350 (Nov. 16, 1989)).
\20\ Alaska LNG App. at 29-30 (quoting Yukon Pacific Corp.,
Order No. 350, at 7, 27).
---------------------------------------------------------------------------
Alaska LNG maintains that the facts of today's natural gas
landscape support the continued validity of the Presidential Finding.
Therefore, Alaska LNG asserts that the Presidential Finding is valid
and applicable to this Project, and that the requirement of ANGTA
Section 12 has been satisfied.
Economic Benefits. Alaska LNG maintains that the requested
authorization will benefit local, regional, and national economies and
is not inconsistent with the public interest. According to Alaska LNG,
the proposed export would make natural gas, otherwise stranded on the
North Slope, available to both the global LNG market and Alaska in-
state markets. Alaska LNG also asserts that the Project will create new
jobs and opportunities for American workers, is consistent with
President Obama's National Export Initiative,\21\ and will improve the
U.S. balance of trade.
---------------------------------------------------------------------------
\21\ Exec. Order 13534, 75 FR 12,433 (Mar. 11, 2010).
---------------------------------------------------------------------------
Benefits to National Energy Security. Alaska LNG maintains that the
LNG exports associated with the requested authorization will support
U.S. energy security. Alaska LNG points to DOE/FE's findings on
national energy security in recent non-FTA LNG export proceedings and
to the Socio-Economic Report, which analyzes the impact of natural gas
exports on enhancing energy security using the metrics of supply
assurance, price stability, and foreign policy.
Environmental Benefits. Alaska LNG maintains that LNG exports
significantly benefit the environment because natural gas is cleaner
burning than other fossil fuels. According to Alaska LNG, an increased
supply of natural gas made possible through LNG exports can help
countries reduce their reliance on less environmentally friendly fuels.
To the extent its proposed exports are used by foreign countries as a
substitute for coal and fuel oil, Alaska LNG maintains that its exports
would reduce emissions significantly over the 30-year export term.
Based on these factors, Alaska LNG maintains that the proposed
exports are not inconsistent with the public interest. Additional
details can be found in Alaska LNG's Application, which is posted on
the DOE/FE Web site at: https://energy.gov/fe/downloads/alaska-lng-project-llc-14-96-lng.
Environmental Impact
Alaska LNG requests that DOE/FE grant its request to export LNG to
non-FTA countries conditioned on FERC's completion of the NEPA review
and approval of Project construction. Alaska LNG notes that it has been
standard practice for DOE/FE to complete its NEPA review as a
cooperating agency in FERC's review of proposed export facilities.
Alaska LNG further states that it will seek any necessary permits from
other federal, state, and local agencies, as well as conduct any
necessary consultations. Alaska LNG notes that it expects to commence
FERC's pre-filing process in 2014.
DOE/FE Evaluation
The Application will be reviewed pursuant to section 3(a) of the
NGA, 15 U.S.C. 717b(a). In reviewing this LNG export Application, DOE
will consider issues required by law or policy. To the extent
determined to be relevant or appropriate, DOE/FE's review will include
the impact of LNG exports associated with this Application on Alaskan
regional domestic need for the natural gas proposed for export,
adequacy of domestic natural gas supply in Alaska, and other issues,
including whether the arrangement is consistent with DOE's policy of
promoting competition in the marketplace by allowing commercial parties
to freely negotiate their own trade arrangements. Parties that may
oppose the Application should address these issues in their comments
and/or protests, as well as other issues deemed relevant to the
Application.
Interested persons will be provided 60 days from the date of
publication of this Notice in which to submit comments, protests,
motions to intervene, notices of intervention, or motions for
additional procedures.
Public Comment Procedures
In response to this Notice, any person may file a protest,
comments, or a motion to intervene or notice of intervention, as
applicable. Any person wishing to become a party to the proceeding must
file a motion to intervene or notice of intervention, as applicable.
The filing of comments or a protest with respect to the Application
will not serve to make the commenter or protestant a party to the
proceeding, although protests and comments received from persons who
are not parties will be considered in determining the appropriate
action to be taken on the Application. All protests, comments, motions
to intervene, or notices of intervention must meet the requirements
specified by the regulations in 10 CFR Part 590.
Filings may be submitted using one of the following methods: (1)
Emailing the filing to fergas@hq.doe.gov with FE Docket No. 14-96-LNG
in the title line; (2) mailing an original and three paper copies of
the filing to the Office of Oil and Gas Global Security and Supply at
the address listed in ADDRESSES; or (3) hand delivering an original and
three paper copies of the filing to the Office of Oil and Gas Global
Security and Supply at the address listed in ADDRESSES before 4:30 p.m.
EST. All filings must include a reference to FE Docket No. 14-96-LNG.
Please Note: If submitting a filing via email, please include all
related documents and attachments (e.g., exhibits) in the original
email correspondence. Please do not include any active hyperlinks or
password protection in any of the documents or attachments related to
the filing. All electronic filings submitted to DOE must follow these
guidelines to ensure that all documents are filed in a timely manner.
Any hardcopy filing submitted greater in length than 50 pages must also
include, at the time of the filing, a digital copy on disk of the
entire submission.
A decisional record on the Application will be developed through
responses to this notice by parties, including the parties' written
comments and replies thereto. Additional procedures will be used as
necessary to achieve a complete understanding of the facts and issues.
A party seeking intervention may request that additional procedures be
provided, such as additional written comments, an oral
[[Page 55768]]
presentation, a conference, or trial-type hearing. Any request to file
additional written comments should explain why they are necessary. Any
request for an oral presentation should identify the substantial
question of fact, law, or policy at issue, show that it is material and
relevant to a decision in the proceeding, and demonstrate why an oral
presentation is needed. Any request for a conference should demonstrate
why the conference would materially advance the proceeding. Any request
for a trial-type hearing must show that there are factual issues
genuinely in dispute that are relevant and material to a decision, and
that a trial-type hearing is necessary for a full and true disclosure
of the facts.
If an additional procedure is scheduled, notice will be provided to
all parties. If no party requests additional procedures, a final
Opinion and Order may be issued based on the official record, including
the Application and responses filed by parties pursuant to this notice,
in accordance with 10 CFR 590.316.
The Application is available for inspection and copying in the
Division of Natural Gas Regulatory Activities docket room, Room 3E-042,
1000 Independence Avenue SW., Washington, DC 20585. The docket room is
open between the hours of 8:00 a.m. and 4:30 p.m., Monday through
Friday, except Federal holidays. The Application and any filed
protests, motions to intervene or notice of interventions, and comments
will also be available electronically by going to the following DOE/FE
Web address: https://www.fe.doe.gov/programs/gasregulation/.
Issued in Washington, DC, on September 11, 2014.
Lisa C. Tracy,
Acting Director, Division of Natural Gas Regulatory Activities, Office
of Oil and Gas Global Security and Supply, Office of Oil and Natural
Gas.
[FR Doc. 2014-22226 Filed 9-16-14; 8:45 am]
BILLING CODE 6450-01-P