[Federal Register Volume 85, Number 198 (Tuesday, October 13, 2020)]
[Notices]
[Pages 64452-64453]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-22557]


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DEPARTMENT OF ENERGY

[FE Docket No. 18-145-LNG]


Energ[iacute]a Costa Azul, S. de R.L. de C.V.; Application To 
Amend Long-Term Authorization To Export Natural Gas to Mexico and To 
Re-Export Liquefied Natural Gas From Mexico to Non-Free Trade Agreement 
Nations

AGENCY: Office of Fossil Energy, Department of Energy.

ACTION: Notice of application.

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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 DOE/FE Order No. 4365, which 
currently authorizes ECA to export domestically produced natural gas to 
Mexico, and to re-export a portion of the natural gas as liquefied 
natural gas (LNG) from the ECA Large-Scale Project to be located in 
Mexico to non-free trade agreement (non-FTA) countries. ECA asks DOE/FE 
to increase the approved non-FTA export volume for the ECA Large-Scale 
Project from 475 billion cubic feet per year (Bcf/yr) to 636 Bcf/yr of 
natural gas--an increase of 161 Bcf/yr. ECA filed the Application under 
the Natural Gas Act (NGA).

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, December 14, 
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 or (202) 586-2627, 
[email protected] or [email protected].
    Cassandra Bernstein, 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, [email protected].

SUPPLEMENTARY INFORMATION: On March 29, 2019, in Order No. 4365, DOE/FE 
authorized ECA to export domestically produced natural gas to Mexico in 
a volume up to 545 Bcf/yr, and to re-export a portion of this natural 
gas in the form of LNG to non-FTA countries in a volume equivalent to 
475 Bcf/yr of natural gas, pursuant to NGA section 3(a), 15 U.S.C. 
717b(a).\1\ ECA is authorized to re-export this LNG from the ECA Large-
Scale Project, to be located on the site of ECA's existing LNG import 
terminal north of Ensenada, Baja California, Mexico.
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    \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).
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    ECA states that it has determined that the full design of the ECA 
Large-Scale Project will be capable of producing an additional volume 
of LNG for re-export. In light of this design increase, ECA asks DOE/FE 
to amend Order No. 4365 to authorize the re-export of an additional 161 
Bcf/yr of natural gas in the form of LNG from the ECA Large-Scale 
Project to non-FTA countries.\2\ ECA seeks to export this LNG on its 
own behalf and as agent for other entities who hold title to the 
natural gas and/or LNG at the time of export. ECA requests the 
authorization for a term to commence on the earlier of the date of 
first export or seven years from the issuance of the requested 
authorization, and to extend through December 31, 2050.
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    \2\ DOE/FE will review ECA's request for an amendment to its 
existing FTA export authorization, as well as its request for an 
additional amount for use as fuel for pipeline transportation or 
liquefaction in Mexico, separately pursuant to section 3(c) of the 
NGA, 15 U.S.C. 717b(c).
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    Additional details can be found in ECA's Application, posted on the 
DOE/FE website at: https://www.energy.gov/sites/prod/files/2020/09/f79/Energia%20Costa%20Azul%20-%20Design%20Increase%2018-145-LNG.pdf

DOE/FE Evaluation

    In reviewing ECA's 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 the study entitled, Macroeconomic Outcomes 
of Market Determined Levels of U.S. LNG Exports (2018 LNG Export 
Study),\3\ and

[[Page 64453]]

DOE/FE's response to public comments received on that Study.\4\
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    \3\ 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.
    \4\ 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).
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    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); \5\
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    \5\ The Addendum and related documents are available at: http://energy.gov/fe/draft-addendum-environmental-review-documents-concerning-exports-natural-gas-united-states.
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     Life Cycle Greenhouse Gas Perspective on Exporting 
Liquefied Natural Gas From the United States, 79 FR 32260 (June 4, 
2014); \6\ and
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    \6\ 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.
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     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.\7\
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    \7\ 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.
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    Parties that may oppose this Application should address these 
issues and documents in their comments and 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. 18-145-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. 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, 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, notices 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 October 7, 2020.
Amy Sweeney,
Director, Office of Regulation, Analysis, and Engagement, Office of Oil 
and Natural Gas.
[FR Doc. 2020-22557 Filed 10-9-20; 8:45 am]
BILLING CODE 6450-01-P