According to PHMSA’s Deputy Associate Administrator Massoud Tahamtani, the proposed Rio Grande liquefied natural gas export terminal project complies with federal pipeline safety standards. He noted that the facility is being designed to withstand winds up to 150 miles per hour, in a letter of determination made public early Tuesday morning.
FERC will use PHMSA's review to determine if the facility will receive a permit to start construction on six production units that will be able to make more than 16 million metric tons of LNG per year. A final permit decision by FERC is expected in July.
NextDecade Corp will be developing Rio Grande LNG which is one of two proposed export terminals being developed by the company. The company is also in the process of seeking state and federal approval to build the Galveston Bay LNG export terminal in Texas City.
NextDecade is expecting to make a final investment decision on the project during the third quarter, if approved by federal regulators. The liquefied natural gas export terminal and the supporting Rio Bravo pipeline are expected to result in more than $15 billion of private investment and create more than 5,000 construction jobs.