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Ohio Utica Shale

API pleased with federal approval of LNG exports in Louisiana

By Bob Downing Published: February 11, 2014

From the American Petroleum Institute:

WASHINGTON, February 11, 2014 ─ API Director of Upstream and Industry Operations Erik Milito welcomed today’s authorization by the Department of Energy of liquefied natural gas (LNG) exports from Cameron Parish, Louisiana and urged the agency to quickly process over 20 remaining applications.

“It’s a positive sign for the U.S. economy that the Department of Energy has continued to work through these export applications,” said Milito. “The faster these terminals are approved, the faster Americans can enjoy the full benefits of the U.S. energy revolution brought about by advancements in hydraulic fracturing and horizontal drilling. LNG exports represent an immediate opportunity to create thousands of jobs, grow the economy, and reduce our trade deficit. This facility alone promises a potential investment of over $4 billion, and each export approval strengthens our competitive position in the international market. We urge Energy Secretary Moniz to ensure that 2014 is the year we lock down America’s trade advantage as the world’s leading producer of natural gas.”

Milito noted that the DOE’s analysis utilizedthe latest projections from the U.S. Energy Information Administration, which show that expectations for U.S. LNG exports have jumped by 160 percent since last year. According to the EIA’s 2014 Early Release Annual Energy Outlook, the U.S. will be a net exporter of LNG in 2016, as rising production creates new export opportunities while keeping domestic prices low.

Milito also cited a recent study of U.S. job gains and economic growth associated with future exports of LNG. According to the report, by ICF International, the economic benefits of LNG exports will extend far beyond natural gas-producing states, driving national job growth and increasing demand for U.S. steel, cement, equipment, and other goods.

API is the only national trade association representing all facets of the oil and natural gas industry, which supports 9.8 million U.S. jobs and 8 percent of the U.S. economy. API’s more than 580 members include large integrated companies, as well as exploration and production, refining, marketing, pipeline, and marine businesses, and service and supply firms. They provide most of the nation’s energy and are backed by a growing grassroots movement of more than 20 million Americans.



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