Venture Global receives permission to add natural gas to the final LNG block of Plaquemines Plant

Venture Global has received approval from the Federal Energy Regulatory Commission to add natural gas to the final block at its Plaquemines LNG Export Facility in Louisiana, according to a Federal Energy Regulatory Commission filing.

Venture Global's approval by FERC means that it could begin producing liquefied gas at its Plaquemines facility this week. This is more than a full year before the company expects to deliver its first batch of long-term clients with the gas they have contracted.

Venture Global, which is the second-largest LNG exporter in America, wanted to build and ramp up production quickly at its plants so that it could make money on the spot market at higher prices when the plant was being commissioned. This practice has attracted a lot of attention.

Attention

Some customers have complained after a loss in arbitration earlier this month relating to delayed commercial sales.

Last week, federal regulators approved Venture Global's request to extend the Plaquemines commissioning phase until December 31, 2027. The company said the start of long-term commercial sales will not be affected.

The Plaquemines Export Facility will reach its full capacity, which is 27.2 millions metric tons per year, when it is completed. According to data provided by financial firm LSEG, Plaquemines was responsible for over 17% of the total U.S. Exports in September. Curtis Williams reported from Houston, and Nathan Crooks edited the story.

(source: Reuters)