Pivotal LNG, an AGL Resources unit, signed a long-term agreement to sell liquefied natural gas to Crowley Maritime’s subsidiary Carib Energy, for use by Carib`s customers in Puerto Rico.
Recently, the Federal Energy Regulatory Commission (FERC) issued an order providing clarity to Pivotal regarding the use of non-pipeline modes of transportation for delivery of LNG from the U.S. mainland to U.S. territories without becoming subject to FERC`s jurisdiction. The FERC order confirms that Pivotal can sell LNG designated to be transported by waterborne vessel to all U.S. territories subject to the order`s conditions.
To make this possible, Pivotal will load LNG onto international shipping organization (ISO) containers. The ISO containers will then be transported via truck to Crowley`s waterborne vessels in Jacksonville, Florida, and then delivered to Carib`s customers in Puerto Rico.
Pivotal filed a petition for declaratory order with FERC on April 11, 2014. The order was issued by FERC on September 4.
Press Release, September 22, 2014; Image: Pivotal LNG