The Trump administration is set to give Venture Global LNG Inc. (VG) conditional approval to export natural gas from its planned CP2 facility in Louisiana, a project that had been stalled under the Biden administration. According to sources familiar with the matter, the U.S. Energy Department could grant authorization for widespread exports from the facility as early as Wednesday.
Once operational, the CP2 facility, located in Cameron Parish, Louisiana, would have the capacity to export up to 3.96 billion cubic feet of liquefied natural gas (LNG) per day. The project, which is projected to produce 20 million tons of LNG annually, is set to cost around $28 billion to build. While Venture Global has not yet made a final investment decision, the CP2 plant would become one of the largest LNG facilities in the world.
The approval will allow CP2 to export LNG to countries without free-trade agreements with the U.S. The government’s decision is based on an assessment that the project will offer economic benefits to the U.S., contribute to diversifying global natural gas supplies, and strengthen energy security for American allies.
This move marks the latest push by the Trump administration to increase U.S. LNG exports. It follows similar efforts, including licensing for Commonwealth LNG, extensions for other projects, and an executive order to ease the use of LNG as a marine fuel. However, CP2’s approval represents the largest effort by the Trump administration to promote LNG exports to date.
Environmental groups have voiced opposition to the project, arguing that the CP2 facility would delay the transition to cleaner energy and significantly increase greenhouse gas emissions, comparable to adding 1.8 million new gasoline-powered vehicles to the roads. In response, Venture Global argues that the project will replace 33 coal-fired power plants, thereby preventing the emission of approximately 140 million tons of greenhouse gases annually.
The Biden administration had previously paused the issuance of new LNG export permits in January 2024, delaying licenses for CP2 and other projects. A report released by the administration in December 2024 warned that expanding LNG exports could raise domestic natural gas prices and exacerbate global emissions.
In his first day back in office, Trump reversed Biden’s moratorium, signaling his commitment to expanding LNG exports.
Future customers for CP2 LNG supplies include major energy companies such as Exxon Mobil Corp., Chevron Corp., Inpex Corp., and SEFE Securing Energy for Europe GmbH.
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