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Coast Guard Recommends Maine LNG Facility

Maritime Activity Reports, Inc.

September 23, 2010

The Coast Guard recommended to the Federal Energy Regulatory Commission that the waterways associated with the Calais LNG, LLC proposal to construct an LNG facility in Calais, Maine, are suitable for LNG vessel transits provided certain safety and security actions are taken as part of the permit.

The Coast Guard's role in the process was to assess the safety and security issues associated with LNG tankers transiting the Passamaquoddy Bay and the St. Croix River.

As part of the Coast Guard's contribution to the FERC review process, the Coast Guard Captain of the Port for Northern New England, along with key stakeholders, reviewed and validated the navigation safety and maritime security aspects of the Calais LNG, LLC proposal.

FERC has final approval authority on site placement and authorization to construct the facility. The letter of recommendation provides the Coast Guard's assessment of the suitability of the waterway for LNG marine traffic.

The Coast Guard received official notification from Calais LNG, LLC of their proposal to build an LNG terminal in Calais, Maine, in May 2008.

Since the applicant's filing, officials from Coast Guard Sector Northern New England have worked with the applicant, port and community stakeholders as well as state and local emergency responders to assess the safety and security issues associated with LNG tankers transiting the waterways.

"We are pleased with the cooperation of our port partners who have provided their candor and expertise to the review process," offered Captain James McPherson, Coast Guard Captain of the Port.  "We will continue to work with the community and our fellow emergency responders to ensure that appropriate measures are taken to assure the safety and security of the port and surrounding communities."

In an 88 page analysis, the Coast Guard reviewed and validated Calais LNG's Waterway Suitability Assessment.  The review was conducted in full consultation and cooperation with port and community stakeholders.

If licensed by FERC, Calais LNG, LLC will be required to submit an Emergency Response Plan to address safety and security issues identified in the WSA and the Coast Guard's analysis.
 

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