December 10, 2012 / 6:30 PM / in 5 years

CORRECTED-UPDATE 1-Sempra applies for liquefaction permit

(Corrects headline and story to show company applied for a FERC permit, not received a permit, as first sent)

NEW YORK, Dec 10 (Reuters) - Sempra Energy said on Monday it applied to receive U.S. government approval to construct export facilities at an existing gas import terminal in Louisiana.

If it received approval it would be the second such project to receive federal approval to export domestic U.S. gas supplies.

The U.S. Federal Energy Regulatory Commission permit would allow the company to begin construction at its Cameron liquefied natural gas (LNG) terminal in Hackberry, Louisiana.

Sempra plans to build three “trains” to liquefy natural gas and send it abroad with a total export capacity of 12 million tonnes per annum, or about 1.7 billion cubic feet per day.

The company needs other permits and approvals before it can complete building and begin exporting gas, it said in a news release. It expects to start delivery of gas to global markets by 2017.

In April, Cheniere Energy received FERC approval to go-ahead with construction to build gas export facilities at its existing LNG terminal in Sabine Pass, Louisiana.

Sempra’s permit application comes less than one week after the U.S. Department of Energy released a commissioned study painting an overall favorable view of U.S. gas exports.

U.S. natural gas production has ballooned in the past few years as producers have worked to perfect technology to unlock gas deposits trapped between horizontal layers of rock below ground.

Prices in the United States have not risen above $4 per million British thermal units this year, while markets in Europe and Asia fetch prices two-to-three times as high and sometimes higher. (Reporting By Jeanine Prezioso; Editing by Tim Dobbyn)

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