Kinder Morgan recently wrapped up a binding open season on its proposed South System Expansion 4 (SSE4) to increase its Southern Natural Gas (SNG) system’s South Line capacity. The SNG system (see map below) moves 4.4 Bcf/d of natural gas primarily into markets in Mississippi, Alabama and Georgia and surrounding states. The existing system is full, and the open season secured commitments for 1.2 Bcf/d.
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Family Affair - Kinder Morgan Pipeline Projects to Boost Deep South’s Access to Appalachian Gas
For several years now, the biggest hurdle to natural gas production growth in the Marcellus/Utica was takeaway constraints — there simply wasn’t enough capacity on gas pipelines out of Appalachia to support a significant bump-up in regional output. Things have been changing though. The Mountain Valley Pipeline and a slew of expansion projects along Transco are allowing increasing volumes of gas to move to and through Virginia and the Carolinas. The proposed Borealis Pipeline across Ohio would enable up to 2 Bcf/d to move down the Texas Gas Transmission system to the Gulf Coast. And, as we discuss in today’s RBN blog, Kinder Morgan is planning several major projects in the Deep South — including the 2.1-Bcf/d Mississippi Crossing and 1.3-Bcf/d South System Expansion 4 projects — to move more gas into Mississippi, Alabama, Georgia and South Carolina.
Born on the Bayou - LNG and Pipeline Reversals Turn Louisiana Gas Market Upside Down, Part 2
The supply-demand dynamic in Louisiana — and around the national benchmark pricing location Henry Hub — is rapidly changing, with LNG exports providing a new demand source in the state and both producers and midstreamers in high gear to push more supply there. These factors will disrupt existing flow patterns and pricing relationships in the region over the next two or three years, eventually turning the market entirely on its head. Today, we continue our series on the Louisiana market transformation with a detailed look at the infrastructure and gas flow trends already underway, starting with what’s going on in the eastern half of the state.
In a Northeast Minute...Everything Can Change - Marcellus/Utica Takeaway Projects to the Gulf Coast
Plans for LNG export terminals, petrochemical plants and gas-fired power generation along the Gulf Coast have made it the #1 target market for Marcellus/Utica natural gas producers. At the same time, these demand projects along the coast, from the Southeast, Texas and even farther down in Mexico, are counting on more supply growth from Appalachia. Since 2014, close to 5.0 Bcf/d of southbound pipeline capacity has been added and another 4.0 Bcf/d is due by early 2019. Today, we continue our update of pipeline expansions out of Appalachia, this time with a focus on the Ohio-to-Gulf Coast corridor.