Tellurian’s proposed 2029 completion date for its Driftwood LNG project got federal approval for the second time on July 9, when the Federal Energy Regulatory Commission (FERC) upheld an earlier decision for a project extension.
In February, the FERC allowed a three-year extension for the Driftwood project. Tellurian said the extension was necessary to adjust to COVID-related problems and to line up more potential customers and investors.
After challenging the initial request for an extension in February, the Sierra Club then filed for a re-hearing of the FERC’s ruling. The environmental group sought a re-examination of the project’s merits, which it argued would invalidate the original approval.
“Sierra Club’s argument is tantamount to advocating that the commission must relitigate the merits of an underlying authorization when considering a request for an extension of time, which runs up against a well-established body of commission precedent,” the FERC July 9 ruling stated.
The Driftwood plant is on the Calcasieu River near Lake Charles, Louisiana. The project includes a pipeline and an LNG export terminal with a capacity of about 27.6 million tonnes per annum when completed. The first phase could go into service as early as 2027.
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