Coastal Conservation Association (CCA)

Conservationists Applaud Opposition to Open-Loop Technology

HOUSTON, TX – Coastal Conservation Association is applauding federal fisheries managers for hardening their position on the licensing of open-loop technology for liquefied natural gas terminals. In a new report on the permitting process for LNG terminals, managers with the National Marine Fisheries Service (NMFS) declare that closed-loop systems are the best available technology and a best practice for avoiding or minimizing impacts on the marine and coastal environment.

“It is significant that the agency charged with managing the health of our ocean resources has now developed a ‘best practices’ document that challenges the use of open-loop technology,” said Pat Murray, CCA Director of Conservation. “We are encouraged to see NMFS take a more critical position on the use of open-loop technology. That is an important development in this debate.”

Several energy companies are currently pursuing permits for offshore LNG facilities in the Gulf of Mexico using Open Rack Vaporization systems, or open loop systems, for reheating the gas. The open-loop system converts liquefied gas back into a gaseous state by circulating seawater through a radiator-like system to reheat it. Each open-loop systems filters more than 100 million gallons of seawater per day, then chlorinates it to prevent fouling in the intake pipe, creating the potential to kill billions of fish eggs, larvae and plankton annually. Closed-loop systems reheat the same water to reheat the LNG.

“Open-loop systems represent a huge risk with our marine resources when there are viable, alternative systems,” said David Cummins, president of CCA. “There is just too much we don’t know about the cumulative impact of a series of open-loop LNG terminals in the Gulf of Mexico. NMFS’ new stance certainly changes the urgency of this debate.”

CCA has grown increasingly alarmed about cumulative damage to marine resources from a string of open-loop LNG terminals proposed for the Gulf of Mexico. Last year CCA fought unsuccessfully for the federal government to force Shell Gas & Power LLC to use closed-loop technology for a terminal 38 miles off the coast of Cameron Parish in Louisiana.

An open-loop terminal proposed by McMoRan Exploration 16 miles off the coast of Louisiana is currently in the public hearing process. ConocoPhillips is also proposing to use open-loop technology for a terminal just 11 miles off the coast of Alabama.

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