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US DOE removes deadline extension barriers for new LNG projects

The US Department of Energy (DOE) has removed regulatory barriers that required authorized LNG exporters to meet stringent criteria before the agency would consider a request to extend a commencement date for an approved project. The removal marks DOE’s return to a case-by-case basis review to extend the commencement date of non-free trade agreement export authorizations instead of requiring rigorous criteria before considering an extension approval.

In April 2023, DOE issued a policy that required that projects seeking a commencement deadline extension must both be under construction and be able to demonstrate that extenuating circumstances outside the authorization holder’s control prevented the commencement of exports within seven years.

In 2024, the US had seven LNG liquefaction export terminals with a combined capacity of 119 bcm/year (88 Mt/year). 

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