The Energy Department approved Dominion Resources’ application to export liquefied natural gas (LNG) from its Cove Point terminal in Maryland, MarketWatch reports: Cove Point is the third facility this year and the fourth overall approved to export LNG to countries without a free trade agreement with the U.S. — which is to say all the big LNG importers out there, particularly in Europe and Asia. Dominion got the go-ahead to export 770 million cubic feet of natural gas a day for 20 years. The terminal is subject to an environmental review and a final regulatory approval.
The shale boom has given the United States an abundance of natural gas. So much so that some can be exported to countries like Japan who are relying more on natural gas to produce electricity in the wake of the Fukushima meltdown. This will boost exports—a Presidential priority Presidential -and create jobs. U.S. Chamber’s Institute for 21st Century Energy president and CEO Karen Harbert was pleased with the license approval saying that it “is the latest sign that America’s shale energy revolution has changed our energy outlook for the better. “ She also cited a recent IHS study showing that shale energy development already supports 2.1 million American jobs and will support 3.9 million jobs by 2025 “unless restrictive policies or regulations are adopted.”
Upon receiving additional regulatory approvals and permits, Dominion will begin construction in 2014 and LNG will begin to be exported in 2017.