The facility is expected to start export operations in 2017 and has to clear approval from the Federal Energy Regulatory Commission, reported The Wall Street Journal.

The US energy department said that it has conditionally authorised Freeport LNG Expansion and FLNG Liquefaction companies to export LNG.

Both the companies are owned by four limited partners, which also include oil and gas giant ConocoPhillips.

Freeport LNG has signed 20-year contracts with Chubu Electric Power, Osaka Gas and BP energy to supply LNG from the new export facility.

The new facility is expected to export about 1.4 billion cubic feet of natural gas per day.