As Plaquemines LNG ramps up production of LNG and Golden Pass and Port Arthur LNG inch closer to operation, Louisiana and East Texas are preparing to hit new records for natural gas demand in the coming years. Much of this demand will be met by bringing in new supply from the West, as we have discussed in blogs like Come Dancing and Hugh Do You Love?. But there are also efforts to bring in new supply to Louisiana from the East. As noted late last year in RBN NATGAS Appalachia two pipeline proposals in Mississippi reached final investment decision within weeks of each other in December that aim to increase access to natural gas in the Southeast.
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Don't Stop Me Now - FERC Actions Helping to Ease the Path Forward for Natural Gas Infrastructure
The Federal Energy Regulatory Commission (FERC) took several steps in June to slash red tape and speed the construction of natural gas projects in the U.S. interstate and export markets. This is the latest in state and federal efforts to reduce the years-long legal battles around energy infrastructure and quicken the development of vital projects such as pipelines and LNG terminals. In today’s RBN blog, we’ll highlight the recent efforts to remake and improve the permitting process.
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.