### DOE Pauses on US LNG Export Permits Despite New Authorization
The recent decision by the US Department of Energy (DOE) to authorize New Fortress Energy Inc. to export up to 1.4 million tonnes per year of liquefied natural gas (LNG) from its Altamira project off the coast of Mexico does not signal the end of the pause on LNG export permits, according to a DOE spokesperson. This development is part of a broader regulatory landscape where the DOE is re-examining its approval process for LNG exports due to evolving economic and environmental considerations.
#### Background on the Pause
The DOE announced a temporary pause on pending decisions to export LNG in January 2024. This pause aimed to give the agency time to enhance its review process, focusing more strongly on the climate and economic impacts of increasing LNG exports. The move was driven by the need to update the analyses used to determine whether these exports were in the public interest. The agency acknowledged that the current economic and environmental analyses were outdated, failing to account for changes in global markets and the evolving understanding of greenhouse gas emissions.
The pause did not affect the eight LNG terminals already in operation or the ten projects that held DOE export authorizations and were under construction at the time. However, it significantly impacted the development of new US LNG export projects, threatening future growth in the industry.
#### Legal Challenges and Industry Impacts
Following the DOE’s announcement, industry groups and attorneys general from 16 Republican states filed lawsuits against the White House’s move. In July 2024, a federal court judge in Louisiana granted a request to halt the permitting freeze, but several analysts have described this ruling as unlikely to immediately restart the agency’s approval process. The DOE has appealed the court order to the US Court of Appeals for the Fifth Circuit.
The regulatory uncertainty has substantial implications for the US LNG industry. The pause has slowed contracting tied to US LNG supply, despite some recent deal announcements. This stagnation reflects the ongoing challenges faced