[Federal Register Volume 83, Number 155 (Friday, August 10, 2018)]
[Notices]
[Pages 39737-39738]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-17182]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF ENERGY

[FE Docket No. 18-70-LNG]


Mexico Pacific Limited LLC; Application for Long-Term, Multi-
Contract Authorization To Export Domestically Produced Natural Gas 
Through Mexico to Non-Free Trade Agreement Countries After Liquefaction 
to Liquefied Natural Gas

AGENCY: Office of Fossil Energy, DOE.

ACTION: Notice of application.

-----------------------------------------------------------------------

SUMMARY: The Office of Fossil Energy (FE) of the Department of Energy 
(DOE) gives notice of receipt of an application (Application), filed on 
June 18, 2018, by Mexico Pacific Limited LLC (MPL). MPL requests long-
term, multi-contract authorization to export domestically produced 
natural gas in a volume equivalent to 12 million metric tons per annum 
of liquefied natural gas (LNG)--or approximately 621 billion cubic feet 
(Bcf) per year (1.7 Bcf per day) of natural gas. Specifically, MPL 
seeks to export this natural gas to its proposed LNG production and 
storage facility to be constructed in the state of Sonora, Mexico (MPL 
Facility), using existing cross-border natural gas transmission 
pipelines. At the MPL Facility, MPL plans to liquefy the U.S.-sourced 
natural gas into LNG. MPL requests authorization to export the U.S.-
sourced LNG by vessel from Mexico to any country with which the United 
States does not have a free trade agreement (FTA) requiring national 
treatment for trade in natural gas, and with which trade is not 
prohibited by U.S. law or policy (non-FTA countries). Only MPL's 
proposed export of LNG produced from U.S.-sourced natural gas to non-
FTA countries is subject to this Notice. MPL requests this non-FTA 
authorization for a 20-year term to commence on the earlier of the date 
of first export or five years from date of the requested authorization. 
MPL requests this authorization on its own behalf and as agent for 
other entities who hold title to the LNG at the time of export. MPL 
filed the Application under section 3 of the Natural Gas Act (NGA). 
Additional details can be found in MPL's Application, posted on the 
DOE/FE website at: https://www.energy.gov/sites/prod/files/2018/07/f53/18-70-LNGapp.pdf. Protests, motions to intervene, notices of 
intervention, and written comments are invited.

DATES: Protests, motions to intervene or notices of intervention, as 
applicable, requests for additional procedures, and written comments 
are to be filed using procedures detailed in the Public Comment 
Procedures section no later than 4:30 p.m., Eastern time, October 9, 
2018.

ADDRESSES: 
    Electronic Filing by email: [email protected].
    Regular Mail: U.S. Department of Energy (FE-34), Office of 
Regulation and International Engagement, Office of Fossil Energy, P.O. 
Box 44375, Washington, DC 20026-4375.
    Hand Delivery or Private Delivery Services (e.g., FedEx, UPS, 
etc.): U.S. Department of Energy (FE-34), Office of Regulation and 
International Engagement, Office of Fossil Energy, Forrestal Building, 
Room 3E-042, 1000 Independence Avenue SW., Washington, DC 20585.

FOR FURTHER INFORMATION CONTACT: 
    Benjamin Nussdorf or Larine Moore, U.S. Department of Energy (FE-
34), Office of Regulation and International Engagement, Office of 
Fossil Energy, Forrestal Building, Room 3E-042, 1000 Independence 
Avenue SW, Washington, DC 20585, (202) 586-7970; (202) 586-9478.
    Cassandra Bernstein or Ronald (R.J.) Colwell, U.S. Department of 
Energy (GC-76), Office of the Assistant General Counsel for Electricity 
and Fossil Energy, Forrestal Building, 1000 Independence Avenue SW, 
Washington, DC 20585, (202) 586-9793; (202) 586-8499.

SUPPLEMENTARY INFORMATION: 

DOE/FE Evaluation

    In the Application, MPL requests authorization to export U.S.-
sourced natural gas in the form of LNG from the proposed MPL Facility, 
to be located in Mexico, to both FTA countries and non-FTA countries. 
This Notice applies only to the non-FTA portion of the Application 
filed under section 3(a) of the NGA, 15 U.S.C. 717b(a). DOE/FE will 
review MPL's request for a FTA export authorization separately

[[Page 39738]]

pursuant to section 3(c) of the NGA, 15 U.S.C. 717b(c).
    In reviewing this Application, DOE will consider any issues 
required by law or policy. DOE will consider domestic need for the 
natural gas, as well as any other issues determined to be appropriate, 
including whether the arrangement is consistent with DOE's policy of 
promoting competition in the marketplace by allowing commercial parties 
to freely negotiate their own trade arrangements. As part of this 
analysis, DOE will consider one or more of the following studies 
examining the cumulative impacts of exporting domestically produced 
LNG:
     Effect of Increased Levels of Liquefied Natural Gas on 
U.S. Energy Markets, conducted by the U.S. Energy Information 
Administration upon DOE's request (2014 EIA LNG Export Study); \1\
---------------------------------------------------------------------------

    \1\ The 2014 EIA LNG Export Study, published on Oct. 29, 2014, 
is available at: https://www.eia.gov/analysis/requests/fe/.
---------------------------------------------------------------------------

     The Macroeconomic Impact of Increasing U.S. LNG Exports, 
conducted jointly by the Center for Energy Studies at Rice University's 
Baker Institute for Public Policy and Oxford Economics, on behalf of 
DOE (2015 LNG Export Study); \2\ and
---------------------------------------------------------------------------

    \2\ The 2015 LNG Export Study, dated Oct. 29, 2015, is available 
at: http://energy.gov/sites/prod/files/2015/12/f27/20151113_macro_impact_of_lng_exports_0.pdf.
---------------------------------------------------------------------------

     Macroeconomic Outcomes of Market Determined Levels of U.S. 
LNG Exports, conducted by NERA Economic Consulting on behalf of DOE 
(2018 LNG Export Study).\3\
---------------------------------------------------------------------------

    \3\ The 2018 LNG Export Study, dated June 7, 2018, is available 
at: https://www.energy.gov/sites/prod/files/2018/06/f52/Macroeconomic%20LNG%20Export%20Study%202018.pdf. DOE is currently 
evaluating public comments received on this Study (83 FR 27314).
---------------------------------------------------------------------------

    Additionally, DOE will consider the following environmental 
documents:
     Addendum to Environmental Review Documents Concerning 
Exports of Natural Gas From the United States, 79 FR 48132 (Aug. 15, 
2014); \4\ and
---------------------------------------------------------------------------

    \4\ The Addendum and related documents are available at: https://www.energy.gov/sites/prod/files/2014/08/f18/Addendum.pdf.
---------------------------------------------------------------------------

     Life Cycle Greenhouse Gas Perspective on Exporting 
Liquefied Natural Gas from the United States, 79 FR 32260 (June 4, 
2014).\5\
---------------------------------------------------------------------------

    \5\ The Life Cycle Greenhouse Gas Report is available at: http://energy.gov/fe/life-cycle-greenhouse-gas-perspective-exporting-liquefied-natural-gas-united-states.
---------------------------------------------------------------------------

    Parties that may oppose this Application should address these 
issues and documents in their comments and/or protests, as well as 
other issues deemed relevant to the Application.
    The National Environmental Policy Act (NEPA), 42 U.S.C. 4321 et 
seq., requires DOE to give appropriate consideration to the 
environmental effects of its proposed decisions. No final decision will 
be issued in this proceeding until DOE has met its environmental 
responsibilities.

Public Comment Procedures

    In response to this Notice, any person may file a protest, 
comments, or a motion to intervene or notice of intervention, as 
applicable. Interested parties will be provided 60 days from the date 
of publication of this Notice in which to submit comments, protests, 
motions to intervene, or notices of intervention.
    Any person wishing to become a party to the proceeding must file a 
motion to intervene or notice of intervention. The filing of comments 
or a protest with respect to the Application will not serve to make the 
commenter or protestant a party to the proceeding, although protests 
and comments received from persons who are not parties will be 
considered in determining the appropriate action to be taken on the 
Application. All protests, comments, motions to intervene, or notices 
of intervention must meet the requirements specified by the regulations 
in 10 CFR part 590.
    Filings may be submitted using one of the following methods: (1) 
Emailing the filing to [email protected], with FE Docket No. 18-70-LNG 
in the title line; (2) mailing an original and three paper copies of 
the filing to the Office of Regulation and International Engagement at 
the address listed in ADDRESSES; or (3) hand delivering an original and 
three paper copies of the filing to the Office of Regulation and 
International Engagement at the address listed in ADDRESSES. All 
filings must include a reference to FE Docket No. 18-70-LNG. Please 
note: If submitting a filing via email, please include all related 
documents and attachments (e.g., exhibits) in the original email 
correspondence. Please do not include any active hyperlinks or password 
protection in any of the documents or attachments related to the 
filing. All electronic filings submitted to DOE must follow these 
guidelines to ensure that all documents are filed in a timely manner. 
Any hardcopy filing submitted greater in length than 50 pages must also 
include, at the time of the filing, a digital copy on disk of the 
entire submission.
    A decisional record on the Application will be developed through 
responses to this notice by parties, including the parties' written 
comments and replies thereto. Additional procedures will be used as 
necessary to achieve a complete understanding of the facts and issues. 
If an additional procedure is scheduled, notice will be provided to all 
parties. If no party requests additional procedures, a final Opinion 
and Order may be issued based on the official record, including the 
Application and responses filed by parties pursuant to this notice, in 
accordance with 10 CFR 590.316.
    The Application is available for inspection and copying in the 
Office of Regulation and International Engagement docket room, Room 3E-
042, 1000 Independence Avenue SW, Washington, DC 20585. The docket room 
is open between the hours of 8:00 a.m. and 4:30 p.m., Monday through 
Friday, except Federal holidays. The Application and any filed 
protests, motions to intervene or notice of interventions, and comments 
will also be available electronically by going to the following DOE/FE 
web address: http://www.fe.doe.gov/programs/gasregulation/index.html.

    Signed in Washington, DC, on August 6, 2018.
Shawn Bennett,
Deputy Assistant Secretary, Office of Oil and Natural Gas.
[FR Doc. 2018-17182 Filed 8-9-18; 8:45 am]
 BILLING CODE 6450-01-P