U.S. regulators approve offshore gas project in Puerto Rico

The Federal Energy Regulatory Commission, or FERC, has authorized the development of the Aguirre Offshore GasPort, a floating terminal that will process liquefied natural gas for use in generating electricity in Puerto Rico.

The Woodlands, Texas-based Excelerate Energy, which is developing the project, said the FERC's decision confirmed that the floating terminal posed "no significant environmental impact."

The project is part of an effort to reduce Puerto Rico's high energy costs, a factor that local companies say has had a negative impact on the economy.

"We are pleased to receive the order from FERC after nearly four years of extensive environmental review," Excelerate CEO Rob Bryngelson said in a statement.

Excelerate Energy will supply LNG via the Aguirre Offshore GasPort to the Central Aguirre Power Complex belonging to the Puerto Rico Electric Power Authority, or PREPA.

"During this time, Excelerate has not diminished its efforts to deliver the beneficial Aguirre Offshore project, nor has the company wavered in its support for PREPA and the government of Puerto Rico," Bryngelson said.

Construction of the floating terminal is slated to start during the first quarter of 2016, with the project expected to begin operating in the second quarter of 2017.

PREPA, a public corporation founded in 1941, supplies 99 percent of the power consumed in Puerto Rico.

Excelerate, a leading supplier of LNG solutions, has operations in Buenos Aires, Dubai, London, Rio de Janeiro and Singapore. EFE

U.S. regulators approve offshore gas project in Puerto Rico