FERC Issues Final EIS for the Magnolia LNG Production Capacity Amendment Project

FERC Issues Final EIS for the Magnolia LNG Production Capacity Amendment Project

The Federal Energy Regulatory Commission (FERC or Commission) issued its Final Environmental Impact Statement (EIS) for the “Magnolia LNG Production Capacity Amendment proposed by Magnolia LNG, LLC (Magnolia LNG).” Magnolia LNG had request authorization to “increase the liquefied natural gas (LNG) production capacity of the previously authorized Magnolia LNG Project in Calcasieu Parish, Louisiana… from 8 million metric tonnes per annum (MTPA) to 8.8 MTPA. The increased production capacity would be achieved through the optimization of Magnolia LNG’s final design, including additional and modified process equipment.”

“The equipment changes identified by Magnolia LNG in its application and supplements and/or determined by FERC staff via data requests include the following:

·         “increased ammonia compressor capacity and system pressures;

·         “increased number of ammonia air coolers;

·         “increased mixed refrigerant system operating pressure;

·         “additional ammonia/mixed refrigerant cooler;

·         “additional heavy hydrocarbon removal vessels and compressor;

·         “relocation of main flare stack; and

·         “addition of marine flare stack.”

FERC noted that the EIS was prepared following the “requirements of the National Environmental Policy Act (NEPA), the Council on Environmental Quality regulations for implementing NEPA in 40 Code of Federal Regulations, Parts 1500–1508 (40 CFR 1500-1508), and FERC regulations implementing NEPA (18 CFR 380).” FERC stated that the “U.S. Department of Energy, U.S. Coast Guard, and U.S. Department of Transportation Pipeline and Hazardous Materials Safety Administration (USDOT PHMSA)” all aided in the preparation of the EIS.

FERC believes that “With the incorporation of the mitigation measures identified in the supplemental EIS, staff concludes the LNG terminal design would include acceptable layers of protection or safeguards that would reduce the risk of potentially hazardous scenarios from developing into an event that could impact the offsite public. USDOT PHMSA will issue a Letter of Determination regarding the facilities’ compliance with siting requirements for LNG facilities in 49 CFR 193 Subpart B.” The new facility would also “be subject to the USDOT PHMSA’s inspection and enforcement program.”

“FERC staff concludes that the modifications associated with the Production Capacity Amendment, with the additional mitigation measures recommended in the supplemental EIS, would continue to avoid or reduce impacts to less than significant levels.”