Veresen Takes Another Crack at Jordan Cove LNG Project

Energy infrastructure company Veresen has re-applied to the US Federal Energy Regulatory Commission (FERC) for the 7.8mn metric tons/yr Jordan Cove LNG terminal in Coos Bay, Oregon.

The $10bn project includes the Pacific Connector Gas Pipeline that will deliver gas to the terminal from the Malin Hub in southern Oregon. In July, Japan's JGC and joint venture partners Kiewit Energy and Black & Veatch Construction were awarded the contract to engineer and build the terminal.

“Completing the pre-filing phase and submitting the formal applications to FERC is a major milestone for the projects,” said Veresen CEO Don Althoff said in a statement September 21: “Our significant efforts to optimize the design to minimize its environmental footprint and accommodate landowner requests should result in the receipt of the positive regulatory decisions required to build Jordan Cove.”

FERC denied Veresen’s first application for Jordan Cove in April 2016 and refused a re-hearing in December that year. This time around, the company has proposed more than 50 route changes for Pacific Connector to accommodate landowner requests and eliminated a 420 MW power plant.

The project will create 6,000 construction jobs and 200 permanent operating jobs and will generate $60mn in annual property taxes, including $20mn from Pacific Connector to the counties it traverses.

Veresen is asking that FERC issue a draft environmental impact statement in 2018, leading to a final FERC decision by the end of next year. That timeline would position the project for a final investment decision in 2019 and an in-service date in 2024.

Dale Lunan