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DOE Will Review Sabine Pass LNG Export Application Under Section 3(a) of NGA

The U.S. Department of Energy's (DOE) Office of Fossil Energy has decided that it will review an application submitted by Sabine Pass Liquefaction, LLC to export LNG to member nations of the World Trade Organization (WTO) under section 3(a) of the Natural Gas Act (NGA), which requires DOE to examine the complete application and determine whether the proposed LNG export scheme is in the "public interest." Sabine Pass previously argued that the United States' obligation under the WTO prohibits the restriction of exports through non-automatic authorization requirements. DOE rejected this argument, concluding that a plain reading of the statute does not permit DOE to review the Sabine Pass application under the more streamlined process of NGA section 3(c).

Separately, Chevron has submitted an application for a short-term permit to export LNG from the Sabine Pass LNG facility.

Full post as published by LNG Law Blog on October 29, 2010 (boomark / email).