Applicants for Jordan Cove LNG Project Request FERC to Vacate Authorizations

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On December 1, 2021, Jordan Cove Energy Project and Pacific Connector Gas Pipeline (the “Jordan Cove Developers” or “Developers”) notified the Federal Energy Regulatory Commission (the “Commission”) of their decision not to proceed with the Jordan Cove LNG project (“Jordan Cove Project” or “Project”) and requested that the Commission vacate the authorizations issued for the Project. The Jordan Cove Developers decided not to move forward because of concerns regarding their ability to obtain required state permits.

The Jordan Cove Project would have involved building a 36-inch pipeline spanning 229 miles to transport natural gas from interior Oregon to the proposed Jordan Cove LNG export terminal at Coos Bay on the Oregon coast. The gas was intended to be exported to Asia. On March 19, 2020, the Commission issued an order authorizing the Jordan Cove Project to site, construct, and operate a natural gas export terminal and associated export facilities Coos Bay. The Commission also authorized the construction and operation of a new interstate natural gas pipeline system that would deliver natural gas to the Jordan Cove LNG export terminal. Several parties appealed the Commission’s authorizations to the D.C. Circuit, which heard oral arguments for those appeals on October 28, 2021. On November 1, 2021, the D.C. Circuit issued an order remanding the proceeding back to the Commission to consider in part whether the imposition of a stay is appropriate.

In support of their request to vacate the Commission’s Project authorizations, the Jordan Cove Developers explained that “[d]espite diligent and persistent efforts, [Developers] have not been able to obtain the necessary state-issued permits and authorizations from various Oregon state agencies.” After the state denied their Clean Water Act and Coastal Zone Management Act authorizations on January 19, 2021, and February 8, 2021, respectively, the Developers undertook an evaluation of these “permitting developments and the prospects for obtaining the permits in the future.” Citing concerns about their “ability to obtain the necessary state permits” and “other external obstacles,” the Developers decided not to move forward with the Project. Accordingly, the Developers stated that to the extent the Commission vacates the authorizations as requested, it would render the D.C. Circuit’s remand on whether to stay the certificate authorizations moot.

The applicants’ request to vacate can be found here.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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