Texas Oil & Gas Association is in support of a ruling that puts on hold the U.S. Department of Energy’s (DOE) pause on LNG export permits. (Source: Shutterstock)
Texas Oil & Gas Association (TXOGA) sided with a recent Louisiana court ruling that in effect halts the pause of LNG permits announced earlier this year by the Biden administration.
U.S. District Judge James Cain of the western district of Louisiana ruled on July 1 to put on hold the U.S. Department of Energy’s (DOE) pause on LNG export permits, arguing that the DOE failed to justify why it needed to pause the approvals to review the process by which it permits projects, Poten & Partners Head of Data Analytics Ben Gonzalez said July 2 during a webinar.
"The court’s ruling to end the LNG export permit approval halt achieves the right result,” TXOGA President Todd Staples said in the trade association’s July 2 press release. “U.S. natural gas has ushered in a new era of energy security by providing for needs here at home and to allies around the globe.”
The ruling deals “a legal blow to the Biden administration’s climate agenda,” Gonzalez said.
A Jan. 26 a decision by the DOE sparked a heated discussion—and not just in the U.S.—over Biden’s policy to freeze the approval process of new LNG export projects until further analysis is complete.
Biden’s mandate specifically relates to whether “additional LNG export authorization requests to non-FTA countries are in the public interest.”
Biden’s pause effectively impacts all LNG export projects that have not yet received approval. The move puts the brakes on billions of dollars in development for energy companies.
Recommended Reading
Texas Gas Vital to Mexico’s Nearshoring Boom
2024-10-25 - Continued U.S. piped-gas exports to Mexico bode well for Eagle Ford and Permian producers.
Mexico to Extend $6.7B to Cover Oil Producer Pemex's Debt in 2025
2024-11-15 - The Mexican government expects to transfer 136 billion pesos (US$6.69 billion) to state oil producer Pemex next year to help the heavily indebted firm meet its debt and loan repayments.
Bracewell: How Trump and Harris Differ (or Don’t) on Energy Policy
2024-10-16 - Presidential impact on energy prices is largely about perception, although LNG permitting, production incentives and the Inflation Reduction Act will be influenced depending on who is in the White House.
Hirs: The High Cost of Overreaching Regulation, Secrecy
2024-12-12 - Energy regulators have withheld critical information that’s resulted in damage to markets and competition.
Trump vs. Harris—Policy Promises vs. Economics
2024-10-22 - The presidential debate did not shed much light on policy initiatives. Are there substantive differences?
Comments
Add new comment
This conversation is moderated according to Hart Energy community rules. Please read the rules before joining the discussion. If you’re experiencing any technical problems, please contact our customer care team.