Cheniere Energy Inc. (LNG), on track to be the first company to export liquefied natural gas produced from the U.S. shale boom, rose to a record after regulators proposed streamlining the approval process for projects.
LNG projects with the best chance of being completed will be given priority and the practice of issuing conditional approvals will be suspended, according to proposals in a U.S. Department of Energy blog post. Cheniere’s Sabine Pass project is the only U.S. project so far to win approval from the U.S. Federal Energy Regulatory Commission and the department.
The change would mean that an expansion at the export terminal in Louisiana would leapfrog 11 other projects awaiting approval, said Will Frohnhoefer, a special situations equity analyst for BTIG LLC in New York, who rates Cheniere as a buy.
Cheniere, based in Houston, expects to begin exporting liquefied natural gas as early as next year. The company rose 7.2 percent, the most since Dec. 6, 2012, to a record $62.52.
To contact the reporter on this story: Zain Shauk in Houston at email@example.com
To contact the editors responsible for this story: Susan Warren at firstname.lastname@example.org Keith Gosman, Madelene Pearson