US regulators approve construction of Venture Global CP2 liquefied natural gas plant in Louisiana

A document published by the FERC on Friday showed that US regulators had given Venture Global permission for construction to begin at its CP2 Liquefied Natural Gas plant in Louisiana.

If built, CP2 would be the largest LNG export facility to the U.S. It will also help the U.S. remain the largest exporter in the world of supercooled gas. Venture Global could become the largest U.S. company for LNG.

A final environmental report concluded that the plant, which produces 28 million metric tonnes per year, is in the public's interest.

Venture Global was approved to build the plant. However, after a ruling by the court, FERC performed an additional environmental assessment of the impact on the air quality.

The project should continue, the study concluded.

Federal regulators stated that "neither the presumptive stop...nor Commission's regulations prohibiting construction for a short period of time pending rehearing" will apply after the order is issued.

Venture Global has not responded to an immediate request for comment.

This additional review was prompted by a decision of the U.S. Court of Appeals, District of Columbia Circuit in August 2024 that quashed FERC's approval of NextDecade LNG exporter NextDecade at the Port of Brownsville (Texas). In light of this court decision, FERC decided that it would review the CP2's air quality impact.

CP2 is at the heart of a battle between energy companies and environmentalists who want to limit future LNG project on the U.S. Gulf Coast. (Reporting from Curtis Williams, Houston; Editing and production by David Gregorio).

(source: Reuters)