US Department of Energy Authorizes Eagle Maxville LNG Exports

The U.S. Department of Energy has approved a long-term application from Eagle LNG Partners Jacksonville II LLC (Eagle Maxville) to export liquefied natural gas (LNG) in a quantity of 0.01 billion cubic feet per day (Bcf/d). Eagle Maxville is authorized to export domestically produced LNG in ISO containers loaded at the Maxville Facility located in Jacksonville, Duval County, Florida, to anywhere in the world not prohibited by U.S. law or policy. Eagle Maxville intends to export to markets in the Caribbean Basin and elsewhere in the region.

With the tremendous increase in domestic natural gas production, the United States is transitioning to become a net exporter of natural gas in 2017. Eagle Maxville will contribute to those 2017 exports from the existing Maxville facility with authorization granted today. The Department of Energy has now authorized a total of 21.35 Bcf/d of natural gas exports to anywhere in the world not prohibited by U.S. law or policy from existing and planned facilities in Texas, Louisiana, Florida, Georgia, and Maryland.

Increased natural gas production in the United States is helping to improve our energy security while stimulating economic development and job creation around the country. This increase in domestic natural gas production is expected to continue, with the U.S. Energy Information Administration’s Short Term Energy Outlook projecting an average dry natural gas production rate of 74.1 Bcf/d in 2017, the second highest on record.

The Energy Department conducted a review of the Eagle Maxville application, including seeking public comments. No comments were received in response to the public notice of the application, allowing the Department to issue its authorization three months after receiving the application. This quick response demonstrates Secretary Perry’s commitment to expedited processing of LNG export application when ready for final action. Among other factors, the Department met its National Environmental Policy Act requirements in issuing a categorical exclusion and considered the economic and energy security of the application, including macroeconomic studies that showed positive benefits to the U.S. economy in scenarios with LNG exports up to 28 Bcf/d.