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US DOE approves fourth LNG export plant

18 September 2013

The US Department of Energy (DOE) has approved Dominion’s Cove Point LNG plant in Maryland for export to countries without a free trade agreement with the US. It is the third such project to receive export approval this year, and the fourth overall.

Dominion's conditional permit for liquefied natural gas exports from its Cove Point terminal on Maryland's Chesapeake Bay came just over a month after the Energy Department approved exports from a terminal in Lake Charles, Louisiana.

Cove Point's conditional approval to export up to 0.77 billion cubic feet a day of natural gas, pushes the overall amount of gas exports permitted to 6.37 bcf a day.

With domestic production of natural gas booming, about two dozen projects are seeking to send surplus gas abroad. But a group of industrial companies led by Dow Chemical has warned that expanded exports could raise energy prices for domestic consumers.

Dominion Chief Executive Thomas Farrell said the decision "is good news on many fronts, including the thousands of jobs that will be created, the boost in government revenues that will result, and the support it provides to allied nations."

As of September 11, there were a further 20 projects awaiting export approval by the DOE.

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