FERC reaffirms authorization for CP2 LNG terminal and pipeline

The Federal Energy Regulatory Commission (FERC) reaffirmed its authorization for Venture Global to build and operate its CP2 LNG export terminal and the CP Express natural gas pipeline in Louisiana.

Venture Global said its Calcasieu Pass facility will commence commercial operations on April 15.

This decision comes after months of procedural back-and-forth over the project’s cumulative air quality impacts, specifically nitrogen dioxide (NO₂) and fine particulate matter (PM2.5).

Originally approved on June 27, 2024, the $10 billion CP2 LNG project in Cameron Parish and the associated CP Express pipeline, which connects to major pipeline systems in east Texas and southwest Louisiana, had been challenged by environmental groups and local residents. Petitioners raised issues with FERC’s environmental review, particularly the modeling of air quality impacts.

“With all federal approvals now in hand we look forward to immediately launching on-site construction on this project that will deliver reliable low-cost LNG to the world, starting in 2027,” Venture CEO Mike Sabel said in a statement.

The CP2 LNG terminal facility will be located on an approximately 1,150 acre site adjacent to Venture Global’s Calcasieu Pass LNG facility in Cameron Parish, Louisiana. The associated marine facility will be located on Monkey Island, between the Calcasieu Ship Channel and Calcasieu Pass. The proposed CP Express natural gas pipeline will originate in Jasper County, Texas and pass through Newton County, Texas and Calcasieu Parish, Louisiana before it ends at the CP2 LNG terminal in Cameron Parish.

Key features include:

• Nameplate 20 MTPA liquefaction capacity using single mixed refrigerant technology
• Thirty-six 0.626 MTPA liquefaction trains, configured in eighteen blocks
• Four 200,000 m3 full containment LNG storage tanks
• Two marine loading berths
• An on-site combined cycle gas turbine power plant with a nameplate capacity of 1,440 MW (~720 MW peak per phase)

FERC initially paused construction authorizations after the U.S. Court of Appeals for the D.C. Circuit faulted the agency’s NO₂ analysis in a separate LNG case (Healthy Gulf v. FERC), ruling that reliance on EPA’s “Significant Impact Levels” (SILs) required better justification or a more robust cumulative analysis.

Responding to these legal concerns, FERC ordered supplemental environmental review of CP2 LNG’s air emissions. That process included updated modeling using new EPA standards for PM2.5 and marine emissions from Venture Global’s nearby CP1 LNG facility. The final supplemental Environmental Impact Statement (EIS), released May 9, 2025, found that cumulative impacts from NO₂ and PM2.5 emissions would not be significant.

FERC’s new order confirms:

• The CP2 LNG terminal and Moss Lake Compressor Station would not cause or meaningfully contribute to violations of national air quality standards.
• Updated modeling showed emissions below revised EPA thresholds (e.g., annual PM2.5 below the new 9.0 µg/m³ standard).
• The final supplemental EIS satisfied the court’s remand in Healthy Gulf and addressed public concerns raised during the comment period.

While the Commission granted rehearing to clarify aspects of its decision, it did not change its ultimate conclusion: the CP2 LNG project meets legal and environmental requirements under the Natural Gas Act and NEPA.

With this order, FERC lifts its hold and allows Venture Global to proceed with construction, barring further litigation.