Dominion has secured approval from the US Federal Energy Regulatory Commission to build and operate the Cove Point LNG liquefaction and export project, which is expected to cost between $3.4bn and $3.8bn.
The project in Calvert County, Maryland is the fourth liquefied natural gas (LNG) export development to secure approval to construct and operate.
Upon completion, the project will have the capacity to export up to 5.75 metric tonnes of LNG a year.
The proposed export facility will be located within the 131-acre footprint of the existing LNG terminal site.
Apart from the Cove Point LNG project construction, Dominion will build related facilities at an existing compressor station and at metering as well as regulating sites in Virginia.
Dominion plans to complete construction of the project so that facilities may begin services in June 2017.
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By GlobalDataConstruction of the related Virginia facilities is expected to start in 2016 and with operations by March 2017.
Dominion Energy president Diane Leopold said: "We are pleased to receive this final approval that allows us to start constructing this important project that offers significant economic, environmental and geopolitical benefits.
"This order is based on more than two years of thorough, exhaustive analysis by FERC along with numerous other federal and state agencies. It also reflects a robust public input process. Dominion is dedicated to constructing a safe, secure, environmentally compatible and reliable export facility."
The US Department of Energy has approved Dominion’s export of gas to both free trade agreement and non-free trade agreement nations.
Dominion has subscribed the marketed capacity of the project with 20-year service agreements with ST Cove Point, a joint venture of Sumitomo and Tokyo Gas; and GAIL Global (US) LNG.
IHI/Kiewit Cove Point is serving as the engineering, procurement and construction contractor for the new liquefaction facilities.
