v
FREQUENTLY USED ACRONYMS
AEO
Annual Energy Outlook
API
American Petroleum Institute
Bcf/d
Billion Cubic Feet per Day
Bcf/yr
Billion Cubic Feet per Year
CEQ
Council on Environmental Quality
CH
4
Methane
CO
2
Carbon Dioxide
CO
2
e
Carbon
Dioxide Equivalent
CPP
Clean Power Plan
DOE
U.S.
Department of Energy
DWPA
Deepwater Port Act
EIA
U.S. Energy Information Administration
EIS
Environmental Impact Statement
EPA
U.S. Environmental Protection Agency
ESA
Endangered Species Act
EUR
Estimated Ultimate Recovery
FE
Office of Fossil Energy, U.S. Department of Energy
FERC
Federal Energy Regulatory Commission
FLNGV
Floating Liquefied Natural Gas Vessel
FTA
Free Trade Agreement
FWNRL
Fairwood Welbeck Natural Resources Pte. Ltd.
GDP
Gross Domestic Product
GEM
Global Economic Model
GHG
Greenhouse Gas
GIM
Global Industry Model
GWP
Global Warming Potential
IECA
Industrial Energy Consumers of America
IPCC
Intergovernmental Panel on Climate Change
kWh
Kilowatt-Hour
LCA
Life
Cycle Analysis
LNG
Liquefied Natural Gas
MARAD
U.S. Department of Transportation Maritime Administration
Mcf
Thousand Cubic Feet
MMBtu
Million British Thermal Units
mtpa
Million Metric Tons per Annum
MWh
Megawatt-Hour
NEMS
National Energy Modeling System
NEPA
National Environmental Policy Act
NERA
NERA Economic Consulting
NETL
National Energy Technology Laboratory
NGA
Natural Gas Act
NOx
Nitrogen
Oxides
1
I.
INTRODUCTION
On November 12, 2013, Delfin LNG LLC (Delfin) filed an application (Application)
1
with the Office of Fossil Energy (FE) of the Department of Energy (DOE) under section 3(a) of
the Natural Gas Act (NGA)
2
for long-term, multi-contract authorization to export domestically
produced liquefied natural gas (LNG). Delfin seeks authorization to
export the LNG in a volume
equivalent to approximately 657.5 billion cubic feet per year (Bcf/yr) of natural gas (1.8 Bcf per
day (Bcf/d)) by vessel from a proposed floating liquefaction facility to be located in West
Cameron Block 167 (WC 167) in the Gulf of Mexico, offshore of Cameron Parish, Louisiana
(Liquefaction Facility). Delfin seeks authorization to export this LNG over a 20-year term to any
country with which the United States does not have a free trade agreement (FTA) requiring
national treatment for trade in natural gas, and with which trade is not prohibited by U.S.
law or
policy (non-FTA countries). Delfin seeks to export this LNG on its own behalf and as agent for
other entities that hold title to the LNG at the time of export. Delfin requests that this
authorization commence on the earlier of the date of the first export of each train or seven years
from the date the authorization is issued.
Delfin states that its floating Liquefaction Facility will be a “deepwater port” within the
meaning of the Deepwater Port Act of 1974, as amended.
3
The Deepwater Port Act authorizes
the ownership, construction, and operation of LNG terminals in federal waters of
the Outer
Continental Shelf.
4
As such, Delfin’s Liquefaction Facility will require a deepwater port license
1
Delfin LNG LLC, Application for Long-Term Authorization to Export LNG to Non-Free Trade Agreement
Countries, FE Docket No. 13-147-LNG (Nov. 12, 2013) [hereinafter Delfin App.].
2
15 U.S.C. § 717b(a). The authority to regulate the imports and exports of natural gas, including liquefied natural
gas, under section 3 of the NGA (15 U.S.C. § 717b) has been delegated to the Assistant Secretary for FE in
Redelegation Order No. 00-006.02 issued on November 12, 2014.
3
33 U.S.C. § 1501
et seq.;
see also 33 C.F.R. Part 148.
4
See 33 U.S.C. §§ 1501, 1503(a). The Deepwater Port Act originally applied
only to oil import terminals, but was
amended in 2002 to include natural gas import terminals.
See Maritime Transportation Security Act of 2002, Pub.