Trump Orders Resumption of LNG Export Permit Applications to Boost U.S. Energy Output

President Donald Trump has issued an executive order to resume processing export permit applications for new liquefied natural gas (LNG) projects in an effort to increase U.S. energy production and roll back his predecessor’s climate policies.

The move reverses a pause on permits for new projects that former President Joe Biden implemented in early 2024, allowing U.S. national laboratories to study the environmental and economic impacts of the growing export industry.

With U.S. LNG shipments reaching a record high in 2023, the country has become the world’s largest exporter of LNG. The Energy Department predicts that exports could double by the end of the decade and potentially double again under existing authorizations.

The previous pause on new export permits had created uncertainty for several projects in development, particularly those supplying markets in Asia and Europe.

Projects in Louisiana awaiting approvals include Commonwealth LNG, Venture Global’s CP2, Cheniere Energy’s expansion at the Sabine Pass facility, and Energy Transfer’s Lake Charles terminal. In Texas, the second phase of Sempra’s Port Arthur LNG project is also awaiting approval.

Trump’s incoming energy team will be responsible for implementing his plan to increase U.S. oil and gas production. Chris Wright, the nominee to head the Energy Department, has emphasized the importance of expanding domestic energy production, including LNG and nuclear power.

Doug Burgum, Trump’s pick for Interior Secretary and former governor of oil-producing North Dakota, is expected to facilitate more oil and gas leasing on federal lands. Burgum will lead a national energy council to explore ways to enhance energy production.

With these new developments, the U.S. energy sector is poised for growth and increased competitiveness in the global market.

(Source: Reuters – Reporting by Kanishka Singh in Washington; Editing by Christopher Cushing and Kate Mayberry)