[Federal Register Volume 85, Number 192 (Friday, October 2, 2020)]
[Notices]
[Pages 62291-62292]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-21849]


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

DEPARTMENT OF ENERGY

[FE Docket No. 18-145-LNG]


Energ[iacute]a Costa Azul, S. de R.L. de C.V.; Application To 
Amend Export Term Through December 31, 2050, for Existing Non-Free 
Trade Agreement Authorization

AGENCY: Office of Fossil Energy, Department of Energy.

ACTION: Notice of application.

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

SUMMARY: The Office of Fossil Energy (FE) of the Department of Energy 
(DOE) gives notice (Notice) of receipt of an application (Application), 
filed on September 18, 2020, by Energ[iacute]a Costa Azul, S. de R.L. 
de C.V. (ECA). ECA seeks to amend the export term set forth in its 
current authorization, DOE/FE Order No. 4365, to a term ending on 
December 31, 2050. Under Order No. 4365, ECA is authorized to re-export 
U.S.-sourced natural gas in the form of liquefied natural gas (LNG) 
from its proposed Large-Scale Project to be located in Mexico to non-
free trade agreement countries. ECA filed the Application under the 
Natural Gas Act (NGA) and DOE's policy statement entitled, ``Extending 
Natural Gas Export Authorizations to Non-Free Trade Agreement Countries 
Through the Year 2050'' (Policy Statement). Protests, motions to 
intervene, notices of intervention, and written comments on the 
requested term extension 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 19, 
2020.

ADDRESSES: 
    Electronic Filing by email: [email protected].
    Regular Mail: U.S. Department of Energy (FE-34), Office of 
Regulation, Analysis, and 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, 
Analysis, and Engagement, Office of Fossil Energy, Forrestal Building, 
Room 3E-042, 1000 Independence Avenue SW, Washington, DC 20585.

FOR FURTHER INFORMATION CONTACT: 
    Benjamin Nussdorf or Amy Sweeney, U.S. Department of Energy (FE-
34), Office of Regulation, Analysis, and Engagement, Office of Fossil 
Energy, Forrestal Building, Room 3E-042, 1000 Independence Avenue SW, 
Washington, DC 20585, (202) 586-7893; (202) 586-2627, 
[email protected] or [email protected].
    Cassandra Bernstein or Edward Toyozaki, U.S. Department of Energy 
(GC-76), Office of the Assistant General Counsel for Electricity and 
Fossil Energy, Forrestal Building, Room 6D-033, 1000 Independence 
Avenue SW, Washington, DC 20585, (202) 586-9793; (202) 586-0126, 
[email protected] or [email protected].

SUPPLEMENTARY INFORMATION: On March 29, 2019, in Order No. 4365, DOE/FE 
authorized ECA to re-export U.S.-sourced natural gas in the form of LNG 
in a volume equivalent to 475 billion cubic feet per year of natural 
gas, pursuant to NGA section 3(a), 15 U.S.C. 717b(a).\1\ ECA is 
authorized to re-export this LNG by vessel from the proposed ECA Large-
Scale Project, to be located north of Ensenada, Baja California, 
Mexico, to any country with which the United States has not entered 
into 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) for a 20-year term. In the 
Application,\2\ ECA asks DOE to extend its current export term to a 
term ending on December 31, 2050, as provided in the Policy 
Statement.\3\ Additional details can be found in the Application,\4\ 
posted on the DOE/FE website at: https://www.energy.gov/sites/prod/files/2020/09/f79/Energia%20Costa%20Azul%20-%20Application%20for%20Term%20Extensions%2018-145-LNG.pdf.
---------------------------------------------------------------------------

    \1\ Energ[iacute]a Costa Azul, S. de R.L. de C.V., DOE/FE Order 
No. 4365, FE Docket No. 18-145-LNG, Opinion and Order Granting Long-
Term Authorization to Re-Export U.S-Sourced Natural Gas in the Form 
of Liquefied Natural Gas from Mexico to Non-Free Trade Agreement 
Countries (ECA Large-Scale Project) (Mar. 29, 2019).
    \2\ Energ[iacute]a Costa Azul, S. de R.L. de C.V., Application 
to Amend Export Term for Existing Long-Term Authorizations Through 
December 31, 2050, FE Docket No. 18-145-LNG (Sept. 18, 2020). ECA is 
currently authorized under a separate order (DOE/FE Order No. 4318) 
to export domestically produced natural gas to Mexico and to re-
export the natural gas in the form of LNG to FTA countries. ECA's 
request regarding its FTA authorization is not subject to this 
Notice. See 15 U.S.C. 717b(c).
    \3\ U.S. Dep't of Energy, Extending Natural Gas Export 
Authorizations to Non-Free Trade Agreement Countries Through the 
Year 2050; Notice of Final Policy Statement and Response to 
Comments, 85 FR 52237 (Aug. 25, 2020) [hereinafter Policy 
Statement].
    \4\ DOE/FE notes that the Application inadvertently references 
DOE/FE Order Nos. 4364 and 4317 (orders issued to ECA's affiliate 
for the ECA Mid-Scale Project in FE Docket No. 18-144-LNG) in 
certain places, such as in the chart on page 4. However, ECA's 
existing orders in this proceeding, FE Docket No. 18-145-LNG, are 
DOE/FE Order No. 4365 (non-FTA) and Order No. 4318 (FTA), as 
indicated elsewhere in the Application. As stated above, only ECA's 
non-FTA authorization, DOE/FE Order No. 4365, is subject to this 
Notice.
---------------------------------------------------------------------------

DOE/FE Evaluation

    In the Policy Statement, DOE adopted a term through December 31, 
2050 (inclusive of any make-up period), as the standard export term for 
long-term non-FTA authorizations.\5\ As the basis for its decision, DOE 
considered its obligations under NGA section 3(a), the public comments 
supporting and opposing the proposed Policy Statement, and a wide range 
of information bearing on the public interest.\6\ DOE explained that, 
upon receipt of an application under the Policy Statement, it would 
conduct a public interest analysis of the application under NGA section 
3(a). DOE further stated that ``the public

[[Page 62292]]

interest analysis will be limited to the application for the term 
extension--meaning an intervenor or protestor may challenge the 
requested extension but not the existing non-FTA order.'' \7\
---------------------------------------------------------------------------

    \5\ See Policy Statement, 85 FR 52247.
    \6\ See id., 85 FR 52247.
    \7\ Id., 85 FR 52247.
---------------------------------------------------------------------------

    Accordingly, in reviewing ECA's Application, DOE/FE will consider 
any issues required by law or policy under NGA section 3(a), as 
informed by the Policy Statement. To the extent appropriate, DOE will 
consider the study entitled, Macroeconomic Outcomes of Market 
Determined Levels of U.S. LNG Exports (2018 LNG Export Study),\8\ DOE's 
response to public comments received on that Study,\9\ and the 
following environmental documents:
---------------------------------------------------------------------------

    \8\ See NERA Economic Consulting, Macroeconomic Outcomes of 
Market Determined Levels of U.S. LNG Exports (June 7, 2018), 
available at: https://www.energy.gov/sites/prod/files/2018/06/f52/Macroeconomic%20LNG%20Export%20Study%202018.pdf.
    \9\ U.S. Dep't of Energy, Study on Macroeconomic Outcomes of LNG 
Exports: Response to Comments Received on Study; Notice of Response 
to Comments, 83 FR 67251 (Dec. 28, 2018).
---------------------------------------------------------------------------

     Addendum to Environmental Review Documents Concerning 
Exports of Natural Gas From the United States, 79 FR 48132 (Aug. 15, 
2014); \10\
---------------------------------------------------------------------------

    \10\ The Addendum and related documents are available at: http://energy.gov/fe/draft-addendum-environmental-review-documents-concerning-exports-natural-gas-united-states.
---------------------------------------------------------------------------

     Life Cycle Greenhouse Gas Perspective on Exporting 
Liquefied Natural Gas From the United States, 79 FR 32260 (June 4, 
2014); \11\ and
---------------------------------------------------------------------------

    \11\ The 2014 Life Cycle Greenhouse Gas Report is available at: 
http://energy.gov/fe/life-cycle-greenhouse-gas-perspective-exporting-liquefied-natural-gas-united-states.
---------------------------------------------------------------------------

     Life Cycle Greenhouse Gas Perspective on Exporting 
Liquefied Natural Gas From the United States: 2019 Update, 84 FR 49278 
(Sept. 19, 2019), and DOE/FE's response to public comments received on 
that study.\12\
---------------------------------------------------------------------------

    \12\ U.S. Dep't of Energy, Life Cycle Greenhouse Gas Perspective 
on Exporting Liquefied Natural Gas From the United States: 2019 
Update--Response to Comments, 85 FR 72 (Jan. 2, 2020). The 2019 
Update and related documents are available at: https://fossil.energy.gov/app/docketindex/docket/index/21.
---------------------------------------------------------------------------

    Parties that may oppose the 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, addressing the Application. Interested parties will be 
provided 15 days from the date of publication of this Notice in which 
to submit comments, protests, motions to intervene, or notices of 
intervention. The public previously was given an opportunity to 
intervene in, protest, and comment on ECA's long-term non-FTA 
application. Therefore, DOE will not consider comments or protests that 
do not bear directly on the requested term extension.
    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. 18-145-LNG 
in the title line; (2) mailing an original and three paper copies of 
the filing to the Office of Regulation, Analysis, and 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, Analysis, 
and Engagement at the address listed in ADDRESSES. All filings must 
include a reference to FE Docket No. 18-145-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. 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, Analysis, and 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 September 29, 2020.
Amy Sweeney,
Director, Office of Regulation, Analysis, and Engagement, Office of 
Fossil Energy.
[FR Doc. 2020-21849 Filed 10-1-20; 8:45 am]
BILLING CODE 6450-01-P