Tensions Are Beginning to Rise Over Waterways for US LNG Shipments

Venture Global Inc., one of the largest U.S. exporters of liquefied natural gas (LNG), is raising concerns about sharing a key waterway with a new neighbor planning to build a competing export facility. This issue highlights mounting pressure on waterways in Texas and Louisiana as the country pushes to expand LNG exports.

The U.S. is already the world’s top LNG exporter and is in the process of nearly doubling its export capacity. Six LNG projects are currently under construction along the Gulf Coast, with more in advanced stages, supported by policies under the Trump administration aimed at boosting energy shipments abroad. Most of these projects are concentrated on the coasts of Texas and Louisiana, causing competition for limited shipping channels and raising flags about potential bottlenecks.

At the center of the dispute is Venture Global’s Calcasieu Pass plant in Louisiana. It sits along the Calcasieu Pass waterway’s east bank, directly across from Commonwealth LNG’s planned terminal on the west bank. Nearby, Cameron LNG already operates, and two other projects—Woodside’s Louisiana LNG and Energy Transfer’s Lake Charles LNG—are planned upstream along the same waterway.

Recently, Venture Global sent a letter to the Federal Energy Regulatory Commission (FERC) urging the agency to take a closer look at Commonwealth LNG’s waterway plans. Venture Global’s legal team pointed out concerns about what could happen if shipping channels have to be closed temporarily as large vessels move to and from the Commonwealth site. They also flagged potential problems with increased dredging and Commonwealth’s proposal to create a large turning basin for tankers—changes that could disrupt existing operations.

Venture Global’s next project, known as CP2, is adjacent to Calcasieu Pass and has received regulatory approval, though full investment decisions are still pending. In their letter, the company stressed that regulators must ensure Commonwealth’s construction and future operations do not negatively affect existing terminals like Calcasieu Pass or others using the same waterways.

When reached for comment, Venture Global referred back to their letter and did not provide additional input. Commonwealth responded by saying their waterway assessment and the Coast Guard’s recommendations follow all required rules, and they do not plan to make any changes.

This dispute underscores bigger challenges ahead for U.S. energy infrastructure. Even as production ramps up, limitations on shipping routes could slow down the flow of LNG exports. How regulators and companies handle these shared waterways could shape the future of America’s role in the global energy market.

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