Ventura offshore LNG terminal denied key state approvals
The California State Lands Commission Monday denied a key permit to developers of a proposed liquefied natural gas terminal off the Southern California Coast, effectively slamming the door shut on the $800 million project.
The commission voted 2-1 to deny Australian energy giant BHP Billiton both an environmental impact report (EIR) on the LNG project and the lease needed for a pipeline.
The project, under development for more than four years, proposed to build a regasification terminal 14 miles offshore of Ventura County that would transform LNG back into natural gas and pump the gas via underwater pipelines into the state’s onshore gas pipeline system.
The permit denied Monday effectively prevents the building of the pipelines connecting any terminal to the shore.
Construction of the terminal itself also requires an approved EIR, which the commission also rejected Monday.
BHP claims that the terminal, if built, could supply up to 15 percent of the state's natural gas needs.
The project has come under increasing criticism from activists and Ventura County residents, including celebrities such as former James Bond film stars Pierce Brosnan and Halle Berry. They have cited safety concerns and the potential for terrorist attacks.
In response to early criticism of the project, BHP modified portions of the original proposal to reduce harmful environmental effects. The modified plan reduced the expected number of LNG tanker arrivals by 40 a year to a maximum of 99, modified the proposed water cooling design to use a closed system, and agreed to use cleaner burning natural gas for tankers in California coastal waters.
A three-year effort to build a $300 million plant at the Port of Long Beach has also stalled amid safety and environmental concerns. Port officials removed their support of the project last month. The builder, Sound Energy Solutions, has filed suit to allow the project to move forward.
Ventura offshore LNG terminal denied key state approvals
