KEY POINTS
- FERC approved the Plaquemines LNG expansion despite emissions concerns.
- The project will now produce 27.2 million metric tons per year.
- Venture Global has faced criticism for selling LNG on the spot market.
Venture Global’s proposal to expand the processing and export capabilities of its Plaquemines LNG plant in Louisiana has been granted by the Federal Energy Regulatory Commission.
Venture Global raises $1.75 billion in public offering
Venture Global is now able to increase Plaquemines LNG’s capacity from the initially anticipated 24 million tons per year to 27.2 million metric tons thanks to the approval.
Germany received liquefied natural gas from Plaquemines LNG in December, marking the company’s first commissioning shipment. Long-term clients should anticipate receiving their first shipments in 2026 and 2027, but the facility will be in the commissioning phase for at least another year.
FERC found that although the project will increase greenhouse gas emissions, the increase was still within an acceptable range.
In a statement obtained by Reuters, FERC stated, “We acknowledge that the project will increase atmospheric greenhouse gases and contribute cumulatively to climate change, but we are unable to characterize these emissions as significant or insignificant.”
FERC grants approval for Plaquemines LNG expansion
According to Oilprice, the ruling supports the Trump administration’s efforts to increase LNG exports. President Donald Trump reversed a Biden administration policy on his first day in office by lifting a halt on new project permits.
Venture Global raised $1.75 billion when it went public last month, bringing its valuation to $60 billion.
Venture Global, a relative newcomer to the LNG industry, has come under fire for not upholding long-term agreements and instead selling its LNG on the spot market in order to increase profits. The business has maintained that it was able to lawfully avoid long-term obligations since its first facility, Calcasieu Pass, was never finished.
Venture Global said earlier this week that it had notified its long-standing clients that on April 15, 2025, its Calcasieu Pass facility would start commercial operations.
