FERC extends LNG permit deadline

The Federal Energy Regulatory Commission will take more time to make a decision on whether to rehear Pacific Connector and Jordan Cove’s permit applications to build an a gas pipeline and LNG terminal.

Monday’s order stated “in order to afford additional time for consideration of the matters raised or to be raised, rehearing of the Commission’s order is hereby granted for the limited purpose of further consideration, and timely-filed rehearing requests will not be deemed denied by operation of law.”

No timeline for a decision was given.

Following FERC’s March 11 order denying the permit applications, Jordan Cove and Pacific Connector filed a request for rehearing on April 8. FERC had the options of granting the request, denying the request, taking no action, which would have acted as a denial, or today’s course of action to extend the deadline.

While it is unknown when a decision will be made, a Jordan Cove LNG spokesperson called Monday’s announcement a positive.

“This gives us more time to solidify the agreements they were seeking,” Michael Hinrichs said. “They haven’t confirmed a deadline, but we’ll be continually getting them more information as we move forward.”

One of the major issues FERC cited in its initial denial was the lack of evidence to support market demands.

To date, Jordan Cove has reached preliminary agreements for 50 percent of the proposed plant’s liquefaction capacity and with the extension, Hinrichs said Jordan Cove will be working toward shoring up agreements for the remaining capacity.

“That is what we are working toward and you can expect more announcements not only from the customer side, but from the pipeline,” Hinrichs said.