Blocking LNG permit pause still leaves path to FIDs, permits unclear - analysts
** "The unanticipated blocking of the U.S. government's LNG permit pause will not affect projects currently under construction, though the path toward permit approval for new projects is still unclear," said Alex Nouvakhov, senior director at Fitch Ratings
** On Monday, a federal judge siding with 16 Republican-led states blocked the U.S. Department of Energy (DOE) from continuing to pause the approval of applications to export liquefied natural gas
** As the earlier pause on issuing new export licenses didn't affect onstream projects or those that already had a non-FTA export license, this court ruling doesn't affect them either - Amber McCullagh, senior vice president at Rystad
** "If the administration accepts the ruling, then in theory, export approvals could resume, and some projects could advance toward FID. However, if the administration appeals the ruling, then the projects would still face an uncertain regulatory environment, impeding further commercial progress and eventual FID"
** "Overall, the increased liquefaction capacity should broadly benefit all U.S. natural gas producers... as the capacity will drive a higher percentage of natural gas production that is sold on the global market" - Michael Ainge, senior director for North American Natural Resources at Fitch
Reporting by Seher Dareen in Bengaluru
Latest News
Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.
All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.
Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.
