UPDATE 2-Cheniere gets DOE approval to export LNG from Sabine

* Cheniere will be able to export 16 mtpa for 30 years

* Sign of ample US natural gas supply

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NEW YORK, Sept 10 (Reuters) - The U.S. Department of Energy on Sept. 7 approved Cheniere Energy's (LNG.A: Quote) plan to export domestically produced liquefied natural gas from the Sabine Pass terminal in Louisiana, the department said on its website.

The approval brings Cheniere one step closer to building the first LNG export plant in the United States for 40 years, and is another sign of the market revolution caused by the boom in unconventional gas development in the United States.

The proposed LNG plant, which is currently under review by the Federal Energy Regulatory Commission, would export gas produced from shale rock in Texas and further afield, found in abundance in the United States and now relatively easy and viable to produce thanks to new technologies such as horizontal drilling.

U.S. gas producer Chesapeake Energy (CHK.N: Quote) has agreed to supply 0.5 billion cubic feet per day to Cheniere for export.

The export plant would be built on the site where Cheniere currently operates the Sabine Pass LNG import facility.

The U.S. has received only light volumes of LNG this year, as ample gas supply, thanks to an increase in shale production, and weak demand have pressured gas prices and deterred shippers from sending much LNG there.