[Federal Register Volume 88, Number 245 (Friday, December 22, 2023)]
[Notices]
[Pages 88600-88602]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-28236]


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DEPARTMENT OF ENERGY

[Docket No. 23-137-LNG]


Magnolia LNG, LLC; Application for Long-Term Authorization To 
Export Liquefied Natural Gas to Non-Free Trade Agreement Countries

AGENCY: Office of Fossil Energy and Carbon Management, Department of 
Energy.

ACTION: Notice of application.

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SUMMARY: The Office of Fossil Energy and Carbon Management (FECM) of 
the Department of Energy (DOE) gives notice (Notice) of receipt of an 
application (Application), filed by Magnolia LNG, LLC (Magnolia) on 
November 29, 2023. Magnolia requests long-term, multi-contract 
authorization to export domestically produced liquefied natural gas 
(LNG) in a volume equivalent to approximately 449 billion cubic feet 
(Bcf) of natural gas per year (Bcf/y), or 1.23 Bcf per day (Bcf/d), 
from the proposed Magnolia terminal facilities to be constructed and 
operated near Lake Charles, Louisiana (Magnolia LNG Project). Magnolia 
filed the Application under the Natural Gas Act (NGA).

DATES: Protests, motions to intervene, or notices of intervention, as 
applicable, and written comments are to be filed as detailed in the 
Public Comment Procedures section no later than 4:30 p.m., Eastern 
time, February 20, 2024.

ADDRESSES: 

[[Page 88601]]

    Electronic Filing by email (Strongly encouraged): 
[email protected].
    Postal Mail, 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 and 
Carbon Management, Forrestal Building, Room 3E-056, 1000 Independence 
Avenue SW, Washington, DC 20585.
    Due to potential delays in DOE's receipt and processing of mail 
sent through the U.S. Postal Service, we encourage respondents to 
submit filings electronically to ensure timely receipt.

FOR FURTHER INFORMATION CONTACT: 
Jennifer Wade or Peri Ulrey, U.S. Department of Energy (FE-34), Office 
of Regulation, Analysis, and Engagement, Office of Resource 
Sustainability, Office of Fossil Energy and Carbon Management, 
Forrestal Building, Room 3E-042, 1000 Independence Avenue SW, 
Washington, DC 20585, (202) 586-4749 or (202) 586-7893, 
[email protected] or [email protected]
Cassandra Bernstein, U.S. Department of Energy (GC-76), Office of the 
Assistant General Counsel for Energy Delivery and Resilience, Forrestal 
Building, Room 6D-033, 1000 Independence Avenue SW, Washington, DC 
20585, (202) 586-9793, [email protected]

SUPPLEMENTARY INFORMATION: Magnolia requests authorization to export 
domestically produced LNG by ocean-going carrier from the proposed 
Magnolia LNG Project, to be constructed and located on Industrial Canal 
South Shore PLC Tract 475, an approximately 115-acre parcel of land in 
Calcasieu Parish, Louisiana, under a long-term lease with the Lake 
Charles Harbor & Terminal District. Magnolia states that the proposed 
LNG Project would include four LNG trains, two LNG storage tanks each 
with capacity of approximately 160,000 cubic meters, and vessel loading 
facilities, and would be located in an area zoned for heavy industrial 
use and consistent with other industrial facilities along the 
shoreline. Magnolia seeks to export this LNG from the liquefaction 
project in a volume equivalent to approximately 449 Bcf/yr of natural 
gas (1.23 Bcf/d) 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 LNG, which has or in the future develops the 
capacity to import LNG via ocean-going carrier, and with which trade is 
not prohibited by U.S. law or policy (non-FTA countries), pursuant to 
section 3(a) of the NGA.\1\
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    \1\ 15 U.S.C. 717b(a).
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    In the Application, Magnolia notes that it had already been 
authorized in DOE/FE Order No. 3909 \2\ (later amended by DOE/FECM 
Order No. 3909-C) to export the same volume of LNG from the proposed 
Magnolia LNG Project to non-FTA countries. Order No. 3909-C required 
Magnolia to commence commercial operations at its LNG Project by 
November 30, 2023. On March 20, 2023,\3\ and with a subsequent 
amendment on May 30, 2023,\4\ Magnolia asked DOE to postpone its 
commencement deadline. On November 29, 2023--the same day it filed the 
present Application--Magnolia asked to withdraw its request for a later 
commencement date, effective immediately.\5\ Order No. 3909-C then 
expired on its own terms at the end of November 2023.\6\
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    \2\ Magnolia LNG, LLC, DOE/FE Order No. 3909, Docket No. 13-132-
LNG, Opinion and Order Granting Long-Term, Multi-Contract 
Authorization to Export Liquefied Natural Gas by Vessel from the 
Proposed Magnolia LNG Terminal to be Constructed in Lake Charles, 
Louisiana, to Non-Free Trade Agreement Nations (Nov. 30, 2016), 
reh'g denied, DOE/FE Order No. 3909-A (Apr. 2, 2018), amended by 
DOE/FE Order No. 3909-B (Dec. 10, 2020), further amended by DOE/FECM 
Order No. 3909-C (Apr. 27, 2022), reh'g denied, DOE/FECM Order No. 
3909-D (June 24, 2022). Note that on July 4, 2021, the Office of 
Fossil Energy (FE) changed its name to the Office of Fossil Energy 
and Carbon Management.
    \3\ Magnolia LNG, LLC, Docket No. 13-132-LNG, Request of 
Magnolia LNG, LLC for Limited Extension to Start Date of Term of 
Authorization (Mar. 20, 2023).
    \4\ Magnolia LNG, LLC, Docket No. 13-132-LNG, Answer of Magnolia 
LNG, LLC in Opposition to the Motion to Intervene and Protest of 
Sierra Club, et al. and Supplement to Request to Extend Commencement 
Deadline (May 30, 2023).
    \5\ Magnolia LNG, LLC, Docket No. 13-132-LNG, Withdrawal of 
Request for Extension of Commencement of Service Deadline (Nov. 29, 
2023).
    \6\ Magnolia LNG, LLC, Docket No. 13-132-LNG, Administrative 
Notice of Expiration of Non-FTA Authorization (Dec. 8, 2023); see 
Order No. 3909-C at Ordering Para. D.
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    Magnolia remains authorized to export the equivalent volume of LNG 
to countries with which the U.S. has an FTA requiring national 
treatment for trade in natural gas (FTA countries), for a term 
extending through December 31, 2050.\7\
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    \7\ Magnolia LNG, LLC, Order No. 3245, Docket No. 12-183-LNG, 
Order Granting Long-Term, Multi-Contract Authorization to Export 
Liquefied Natural Gas by Vessel from the Proposed Magnolia LNG 
Terminal in Lake Charles, Louisiana, to Free Trade Agreement Nations 
(Feb. 26, 2013); Magnolia LNG, LLC, Order No. 3406, Docket No. 13-
131-LNG, Order Granting Long-Term, Multi-Contract Authorization to 
Export Liquefied Natural Gas by Vessel from the Proposed Magnolia 
LNG Terminal in Lake Charles, Louisiana, to Free Trade Agreement 
Nations (Mar. 5, 2014). On December 10, 2020, both orders were 
amended to extend the effective export term through December 31, 
2050.
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    Magnolia states that its Application ``requests a new authorization 
of the same volumes in light of the expiration of the original 
authorization on November 30, 2023,'' noting that the Federal Energy 
Regulatory Commission's approval of the siting, construction, 
ownership, and operation of the Magnolia LNG Project remains in effect.
    Magnolia seeks this authorization on its own behalf and as agent 
for other entities that hold title to the LNG at the point of export. 
Magnolia requests the authorization for a term commencing on the 
earlier of the date of first export or seven (7) years from the date of 
issuance of the requested authorization, and extending through December 
31, 2050.
    Additional details can be found in the Application, posted on the 
DOE website at https://www.energy.gov/sites/default/files/2023-12/Magnolia%20LNG%20DOE%20NFTA%20Export%20Authorization%20Application%20%28Nov.%2029%202023%29.pdf.

DOE Evaluation

    In reviewing Magnolia'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),\8\ and DOE's response to public comments received on that 
Study.\9\
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    \8\ See NERA Economic Consulting, Macroeconomic Outcomes of 
Market Determined Levels of U.S. LNG Exports (June 7, 2018), 
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).
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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); \10\
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    \10\ The Addendum and related documents are available at 
www.energy.gov/fecm/addendum-environmental-review-documents-concerning-exports-natural-gas-united-states.
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     Life Cycle Greenhouse Gas Perspective on Exporting 
Liquefied

[[Page 88602]]

Natural Gas From the United States, 79 FR 32260 (June 4, 2014); \11\ 
and
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    \11\ The 2014 Life Cycle Greenhouse Gas Report is available at 
www.energy.gov/fecm/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's response to public comments received on 
that study.\12\
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    \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.
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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 NEPA 
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 this proceeding evaluating 
Magnolia's Application 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 this 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, 
including the service requirements.
    Filings may be submitted using one of the following methods:
    (1) Submitting the filing electronically at [email protected];
    (2) Mailing the filing to the Office of Regulation, Analysis, and 
Engagement at the address listed in the ADDRESSES section; or
    (3) Hand delivering the filing to the Office of Regulation, 
Analysis, and Engagement at the address listed in the ADDRESSES 
section.
    For administrative efficiency, DOE prefers filings to be filed 
electronically. All filings must include a reference to ``Docket No. 
23-137-LNG'' or ``Magnolia LNG, LLC Application'' in the title line.
    For electronic submissions: 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.
    The Notice, and any filed protests, motions to intervene, notices 
of intervention, and comments will be available electronically on the 
DOE website at www.energy.gov/fecm/regulation.
    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.

    Signed in Washington, DC, on December 18, 2023.
Amy Sweeney,
Director, Office of Regulation, Analysis, and Engagement, Office of 
Resource Sustainability.
[FR Doc. 2023-28236 Filed 12-21-23; 8:45 am]
BILLING CODE 6450-01-P