[Federal Register Volume 67, Number 114 (Thursday, June 13, 2002)]
[Notices]
[Pages 40704-40705]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 02-14913]


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DEPARTMENT OF ENERGY

[Docket Nos. CP02-379-000, and CP02-380-000]


Federal Energy Regulatory Commission Southern LNG, Inc.; Notice 
of Application

June 7, 2002.
    Take notice that on May 31, 2002, Southern LNG, Inc. (Southern 
LNG), P. O. Box 2563, Birmingham, Alabama 35202-2563, filed an 
application in the above-referenced docket numbers pursuant to Sections 
3(a) and 7(c) of the Natural Gas Act (NGA) and Parts 153 and 157 of the 
Commission's Rules and Regulations, for a certificate of public 
convenience and necessity authorizing the construction, operation and 
maintenance of additional facilities at its liquefied natural gas (LNG) 
import terminal on Elba Island located in Chatham County, Georgia (Elba 
Island Terminal). The application is on file with the Commission and 
open to public inspection. This filing may be viewed on the web at 
http://www.ferc.gov using the ``RIMS'' link, select ``Docket'' 
and follow the instructions (please call (202) 208-2222 for 
assistance).
    The expansion includes new process facilities and moving moored LNG 
ships to a new marine slip, cut in Elba Island and away from the 
Savannah River's main channel. Southern LNG proposes (1) to expand the 
storage capacity of Elba Island Terminal by constructing and operating 
a fourth cryogenic storage tank with a working capacity of 
approximately 3.3 billion cubic feet of natural gas equivalent (Bcfe); 
(2) to increase its average design sendout rate from 446 million cubic 
feet (MMcf) per day to 806 MMcf per day, and its maximum sendout rate 
from 675 MMcf per day to 1,215 MMcf per day, by constructing and 
operating additional LNG pumps and LNG vaporizers; (3) to construct and 
operate two unloading berths cut into a marine slip on Elba Island; and 
(4) appurtenant supporting facilities.
    Southern LNG conducted an open season for the expansion capacity 
from September 10, 2001 to December 14, 2001. As a consequence, 
Southern LNG entered into a precedent agreement on December 24, 2001 
with Shell NA LNG, Inc. (Shell). The precedent agreement obligates 
Southern LNG and Shell to enter into a contract for firm service for 
all the expansion capacity under Southern LNG's tariff on file with the 
Commission. The contract will have a primary term of thirty years.
    The proposed construction will take place almost entirely on Elba 
Island, which Southern LNG already owns and has dedicated to its 
terminal. To establish the new marine slip, Southern LNG will perform 
some construction in the Savannah River, adjacent to Elba Island. 
Southern LNG has already applied for permits necessary for this 
construction from both the U.S. Army Corps of Engineers and the State 
of Georgia.
    Southern LNG estimates that the total capital cost of constructing 
its proposed expansion will be approximately $148 million. Because the 
revenues from the expansion service will exceed the expenses each year, 
the existing service will not subsidize the expansion cost of service. 
Southern LNG proposes to operate the existing and expansion facilities 
as an integrated whole, which provides better outage protection and 
more flexibility. Rolling in the expansion facilities will thus provide 
both financial and operational benefits to both expansion and existing 
customers. Southern LNG requests that it may roll in the expansion with 
the existing rates in a Section 4 proceeding following the in-service 
date.
    Any questions regarding the application be directed to Patrick B. 
Pope, Vice President and General Counsel, Southern LNG, Inc., P. O. Box 
2563, Birmingham, Alabama 35202-2563 at (205) 325-7126.
    There are two ways to become involved in the Commission's review of 
this project. First, any person wishing to obtain legal status by 
becoming a party to the proceedings for this project should, on or 
before June 28, 2002, file with the Federal Energy Regulatory 
Commission, 888 First Street, NE, Washington, DC 20426, a motion to 
intervene in accordance with the requirements of the Commission's Rules 
of Practice and Procedure (18 CFR 385.214 or 385.211) and the 
Regulations under the NGA (18 CFR 157.10). A person obtaining party 
status will be placed on the service list maintained by the Secretary 
of the Commission and will receive copies of all documents filed by the 
applicant and by all other

[[Page 40705]]

parties. A party must submit 14 copies of filings made with the 
Commission and must mail a copy to the applicant and to every other 
party in the proceeding. Only parties to the proceeding can ask for 
court review of Commission orders in the proceeding.
    However, a person does not have to intervene in order to have 
comments considered. The second way to participate is by filing with 
the Secretary of the Commission, as soon as possible, an original and 
two copies of comments in support of or in opposition to this project. 
The Commission will consider these comments in determining the 
appropriate action to be taken, but the filing of a comment alone will 
not serve to make the filer a party to the proceeding. The Commission's 
rules require that persons filing comments in opposition to the project 
provide copies of their protests only to the party or parties directly 
involved in the protest.
    Persons who wish to comment only on the environmental review of 
this project should submit an original and two copies of their comments 
to the Secretary of the Commission. Environmental commenters will be 
placed on the Commission's environmental mailing list, will receive 
copies of the environmental documents, and will be notified of meetings 
associated with the Commission's environmental review process. 
Environmental commenters will not be required to serve copies of filed 
documents on all other parties. However, the non-party commenters will 
not receive copies of all documents filed by other parties or issued by 
the Commission (except for the mailing of environmental documents 
issued by the Commission) and will not have the right to seek court 
review of the Commission's final order.
    The Commission may issue a preliminary determination on non-
environmental issues prior to the completion of its review of the 
environmental aspects of the project. This preliminary determination 
typically considers such issues as the need for the project and its 
economic effect on existing customers of the applicant, on other 
pipelines in the area, and on landowners and communities. For example, 
the Commission considers the extent to which the applicant may need to 
exercise eminent domain to obtain rights-of-way for the proposed 
project and balances that against the non-environmental benefits to be 
provided by the project. Therefore, if a person has comments on 
community and landowner impacts from this proposal, it is important 
either to file comments or to intervene as early in the process as 
possible.
    Comments, protests, and interventions may be filed electronically 
via the internet in lieu of paper. See, 18 CFR 385.2001(a)(1)(iii) and 
the instructions on the Commission's web site under the ``e-Filing'' 
link.
    If the Commission decides to set the application for a formal 
hearing before an Administrative Law Judge, the Commission will issue 
another notice describing that process. At the end of the Commission's 
review process, a final Commission order approving or denying a 
certificate will be issued.

Linwood A. Watson, Jr.,
Deputy Secretary.
[FR Doc. 02-14913 Filed 6-12-02; 8:45 am]
BILLING CODE 6717-01-P