The United States is set to hit a historic milestone with the opening of a new natural gas export terminal in the state of New York.
It is the biggest development in a region that is struggling to keep up with its own growing energy needs and, more important, to meet its energy needs in a way that does not hurt the environment or threaten the health of the population.
“The arrival of this terminal is a momentous occasion in New York state,” Gov.
Andrew Cuomo said Monday at the opening.
“This is the first new gas export facility in more than 20 years in New England, and this is a pivotal moment in the region’s history.”
The terminal is set for completion this year and the first gas export will be shipped by truck to the U.S. mainland.
New York will be one of two states to start exporting natural gas to the mainland, following the signing of a 20-year contract with Dominion Energy.
The other is Rhode Island.
“It will help New York and New York’s economy tremendously,” Cuomo said.
“New York has become the center of New England’s energy economy, and the terminal opens this month is going to make it possible for New Yorkers to have a better future.”
The announcement came as New York State and Dominion Energy announced a $1 billion agreement to build the terminal, which is expected to be finished in 2021.
New Yorkers are set to be among the first in the country to benefit from the $2.7 billion project, which includes two new compressor stations, two new storage tanks and a new processing plant that will handle all of the new gas coming in.
The facility will be capable of exporting the equivalent of 16 million gallons per day, about the same amount as Pennsylvania gets from its existing facility, according to Dominion.
The new terminal is scheduled to open in 2021 and will eventually serve about 12 million customers.
Cuomo, a Democrat, praised the agreement, saying that the U,S.
has become “a natural gas exporter that will be a tremendous boon to New York.”
The deal is expected in the billions of dollars, according, to Dominion, with a total investment expected to reach $4.8 billion.
“We are incredibly pleased to be in this position and excited to be able to help deliver the New York gas economy to the people of New Jersey,” Dominion President and CEO Bob Hall said.
The state also will receive $1.8 million in federal funds to cover the first few years of the terminal.
“With New York, we’re now the second largest supplier of natural gas in the world, behind only Germany,” said John Hines, the New Jersey governor.
“When it comes to New Jersey, we have a lot of gas, a lot to export, and it’s going to come in great quantities.”
The gas will be sold in three separate facilities, one of which is being built in the heart of New Rochelle, the other two in Hoboken and Chelsea.
The New York Times reports that a total of 2,100 jobs will be created in New Rochestown.
The $1 million will be used to pay for construction, marketing and other costs, and to provide financing to the project.
It also will be to cover environmental permits, the state’s utility bills and other utilities, the Times reported.
The terminal will also provide jobs in the construction of the plant, including about 100 jobs that will work on the site of the existing plant, as well as on the plant’s infrastructure and a facility to handle the future gas shipments, according the Times.
The pipeline for the gas will carry gas from the Marcellus shale to a new terminal in Chester County, about 30 miles west of Newburgh, in Pennsylvania, which has been hit by high gas prices due to its proximity to New Roches.
There are about 3.5 million residents in Newburgh and about 1,400 jobs in Newberg, New York that will go with the gas coming from the gas terminal.