The U.S. Department of Energy (DOE) announced a proposed rule that will speed up the approval of small-scale exports of natural gas, including liquefied natural gas (LNG), from U.S. export facilities.
The U.S. small-scale LNG export market involves exports of small volumes of natural gas from the United States primarily to countries in the Caribbean, Central America, and South America.
Many of the countries in these regions do not generate enough natural gas demand to support the economies of scale required to justify large volumes of LNG imports from large-scale LNG terminals via conventional LNG tankers.
The small-scale natural export market has developed as a solution to the practical and economic constraints limiting natural gas exports to these countries.
“The Trump Administration is focused on finding ways to unleash American energy and providing a reliable and environmentally friendly fuel to our trading partners who face unique energy infrastructure challenges. The Department of Energy and this Administration are wholeheartedly committed to strengthening the energy security of the United States and our allies,” said Secretary of Energy Rick Perry.
It is expected this measure will expedite the review and approval of applications to export small amounts of natural gas in the emerging small-scale LNG export market.
