The Texas Commission on Environmental Quality (“TCEQ”) ruled that it would authorize issuance of an air permit to Texas LNG Brownsville LLC (“Texas LNG”), allowing the construction and operation of a liquefied natural gas (“LNG”) export facility to be located in the Port of Brownsville, Texas.
Vivek Chandra, Founder and CEO of Texas LNG LLC said, “We appreciate the hard work and effort from TCEQ and are pleased to have reached this important achievement that paves the way for a 2021 Final Investment Decision (“FID”) and construction of an LNG facility consistent with all air emission regulations. Though current LNG markets are unusual in terms of pricing and supply dynamics, Texas LNG is confident that its low-cost, flexible commercial model, and realistically-sized production volumes will be key differentiators, ideally suited for global customers when operations begin in 2025.”
Langtry Meyer, Founder and COO of Texas LNG LLC stated, “We are pleased with the TCEQ decision. Texas LNG is committed to operating in an environmentally responsible manner, including use of electric motors instead of conventional gas turbine compressors to minimize air emissions, making the facility one of the world’s cleanest LNG liquefaction plants. By delivering clean, safe, low-cost Texas natural gas energy to our customers around the world, Texas LNG can contribute to a cleaner global environment.”
Receiving the TCEQ Air Permit will represent another significant regulatory milestone for Texas LNG. On November 22, 2019, the Federal Energy Regulatory Commission (“FERC”) authorized Texas LNG to site, construct, and operate the facility. Texas LNG has previously received authorizations from the United States Department of Energy (“DOE”) to export U.S.-sourced LNG to any country with which trade is not prohibited by United States law or policy.
Texas LNG looks forward to receiving the signed order and final permit from the TCEQ.
Texas LNG's strengths include access to low cost, abundant Permian Basin feed gas, use of third-party pipeline infrastructure, efficient modular construction design, and transparent competitive pricing structure. In addition, the 4 MTA size of the facility fills an important need from LNG customers seeking smaller contracted volumes to diversify their gas supply portfolio.
