$28 billion Louisiana LNG Project Given Green Light to Proceed

Developer can accelerate work on Gulf Coast gas megaproject with air-quality analysis and FERC-approved compressor station

Federal regulators have advanced the $28-billion CP2 LNG project in Cameron Parish, La., completing a court-mandated environmental review and authorizing construction of a key compressor station, as developer Venture Global begins work on one of the largest liquefied natural gas export terminals ever built on the U.S. Gulf Coast.

The Federal Energy Regulatory Commission’s early-December determination approved construction of the Moss Lake Compressor Station—an essential component of the CP Express pipeline—after the agency found that the company had satisfied all outstanding pre-construction conditions.

The authorization caps a year of intensified environmental scrutiny triggered by a federal court ruling that reshaped how the independent commission evaluates cumulative air impacts for major LNG facilities.

Court Forces Deeper Air-Quality Review

CP2’s permitting trajectory shifted after the U.S. Court of Appeals in Washington, D.C., in its Healthy Gulf decision, faulted the commission’s cumulative air-quality analysis in separate LNG litigation last year. Although that case did not involve CP2, the ruling prompted it to reopen and expand its environmental review for both the terminal and the 85-mile CP Express pipeline.

FERC issued a Draft Supplemental Environmental Impact Statement in February and a Final Supplemental EIS in May. The updated analysis incorporates revised stack parameters, refined dispersion modeling and updated background concentrations for nitrogen dioxide, particulate matter and other operational emissions across the industrial corridor surrounding the Calcasieu Ship Channel.

The commission also reassessed environmental-justice conditions along the CP Express route through Jasper and Newton counties in Texas.

In a formal comment letter this month, the U.S. Environmental Protection Agency said the supplemental analysis addressed the court’s direction and provided “a more complete cumulative-impact evaluation.”

With those findings in hand, FERC reaffirmed that with required mitigation, the project’s emissions would not produce significant effects, clearing the way for final authorizations under the Natural Gas Act.

Opposition surfaced throughout the federal review. Environmental groups, industrial energy consumers and advocacy organizations filed protests with the US Energy Dept. and comments in FERC’s docket, citing cumulative emissions, environmental justice impacts and broader market concerns.

The two agencies acknowledged those objections, with Energy concluding the exports remain in the public interest and FERC stating that its enhanced modeling resolved the air-quality issues highlighted by the court.

Mobilization Accelerates at Terminal Site

With the supplemental review complete and the Moss Lake authorization issued, Venture Global now holds the approvals needed to advance broader field activity. Earlier Notices to Proceed enabled limited preparatory work, but the company disclosed in June that it had begun full mobilization on the 1,150-acre site following completion of the supplemental review.

Construction activity has accelerated. FERC’s biweekly construction compliance report for Nov. 8–21 shows contractors expanding clearing and grading, establishing additional laydown areas, improving site access and installing erosion-control measures across active work zones.

Inspectors documented proper buffering of protected resources and reported no unresolved environmental noncompliance during the period.

Venture Global’s third-quarter construction update adds further detail, reporting more than 3,500 workers on site as of Oct. 31 and noting that soil stabilization is 88% complete, LNG tank construction has reached 28% and engineering is 99.5% finished.

The company also stated that permanent plant equipment is 98% procured and that all CP Express pipeline materials have been delivered. Eight of the project’s 26 modular liquefaction trains are complete, with fabrication continuing off-site.

Venture Global declined ENR’s request for an interview for additional information.

The Moss Lake Compressor Station will connect multiple interstate transmission lines to the terminal. CP Express will supply feed gas consistent with CP2’s planned 28-million-ton-per-year output using a 36-train modular liquefaction system.

Modular EPC Strategy Drives Off-site Progress

Venture Global’s “design one, build many” execution model—developed through its earlier Calcasieu Pass and Plaquemines LNG projects—remains central to CP2’s delivery strategy. Major process modules and equipment packages are already in fabrication yards, enabling parallel advancement of off-site manufacturing and on-site civil work.

Australia-based engineer-contractor Worley received full notice to proceed this summer under a reimbursable EPC contract covering CP2’s initial phase. Two of its U.S. offices are leading engineering and construction planning.

Worley had previously been executing early work under limited-notice authorizations and reported recently increasing its field presence as site development scales up.

“CP2 is a strategically important project to global energy supply and security,” Chris Ashton, Worley CEO, said in a July statement. He added that the project’s modular execution model positions CP2 among the most advanced LNG developments now under construction in the U.S.

Venture Global said in its Q3 corporate results update that it has invested $8.2 billion in CP2 to date, including $1.1 billion in Phase II activities as engineering and procurement progress.

Energy issued its final export authorization for CP2 on Oct. 21 to non-Free Trade Agreement countries, approving shipments of about 1,446 billion cu ft of domestically produced LNG per year through 2050. The agency’s 73-page order (5264-A) relies on updated market modeling and the department’s long-standing use of categorical exclusion B5.7 to satisfy environmental-review obligations under NEPA.

The order responds to extensive protests and comments from environmental organizations, industrial energy consumers and advocacy groups.

DOE concluded that expanded LNG exports remain in the public interest. The approval followed Venture Global’s July financial close for CP2’s initial phase, supported by about $15 billion in commitments.

Local and National Implications Ahead 

Venture Global estimates that CP2 will support more than 7,500 construction jobs at peak and employ about 400 permanent workers once operational. The company projects more than $4 billion in local property tax payments over the facility’s lifespan, making it one of the largest anticipated revenue sources for Cameron Parish.

For regulators, CP2 serves as an early indicator of how the federal permitting landscape is shifting. FERC’s updated cumulative-air-impact methodology, developed in response to the appeals court ruling, is expected to influence future LNG and pipeline evaluations.

Energy’s reliance on a categorical exclusion likewise underscores an evolving dynamic in export approvals when upstream environmental reviews have been completed by other agencies.

Venture Global stated CP2 remains on track to deliver its first LNG in 2027. FERC’s compliance filings suggest environmental monitoring, civil works and equipment mobilization will continue to accelerate in the coming months as the project moves toward foundation work and mechanical installation.

For the Gulf Coast, CP2 adds another megaproject to a region that remains central to U.S. LNG expansion—and to ongoing national debates over air quality, energy policy and the role of major infrastructure in global energy markets and impacts to communities.

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