Efforts by midstream companies to add natural gas pipeline capacity into and through the U.S. Southeast took a big leap forward recently when Kinder Morgan sanctioned plans for the Southeast Connector, a greenfield, 48-inch-diameter pipeline that will serve customers across Middle Tennessee, northeastern Alabama and northwestern Georgia. And don’t forget, Kinder is also expanding part of its Tennessee Gas Pipeline (TGP), which will be a primary supplier to the Southeast Connector near Nashville; building the Mississippi Crossing project; and expanding the Southern Natural Gas (SNG) pipeline system it co-owns with utility giant Southern Company. In today’s RBN blog, we’ll discuss the Southeast Connector project and why it’s not hyperbole to call it a game-changer.
The Canadian NATGAS Billboard is a weekly, early morning email and report that’s designed to keep physical and financial participants informed of the various fundamental components that make up the complex Canadian natural gas market. This service saves readers time and confusion by compiling all the most critical data points into one clear and concise report.
As we said earlier this year in The Big Picture, the southeasternmost states in the South — from west to east, Mississippi, Alabama, Florida, Georgia and South Carolina — account for only 0.4% (~ 400 MMcf/d) of total U.S. natural gas production but a full 12% (~11 Bcf/d) of U.S. gas demand, mostly due to their heavy (and growing) reliance on gas-fired power generation and (especially in Alabama, Georgia and Mississippi) a lot of industrial demand too.
Gas-demand growth in the region has been coming on fast and furious over the past few years, stressing the legacy gas pipeline networks there and resulting in the SNG/SONAT, Florida Zone 3 and Transco Zone 4 price trading points — primary indicators of gas prices in our five-state focus area — being among the very few points where gas is priced at a premium to Henry Hub.
Put simply, pipeline capacity into and through the Southeast has barely kept up with gas demand growth. Figure 1 below shows the key pipeline systems that deliver gas to the region from the Gulf Coast (onshore and offshore), the Midcontinent and, increasingly, the Marcellus/Utica. These include Transco (dark-blue line), Texas Eastern Transmission (TETCO; medium-red line), Tennessee Gas Pipeline (TGP; dark-red line), Texas Gas Transmission (TGT; medium-blue line), Columbia Gulf (dark-purple line), Southeast Supply Header (SESH; medium-brown line), Gulf South (medium-green line), Midwestern Gas Transmission (brown line), SNG (orange line), Gulfstream (light-green line) and Florida Gas Transmission (FGT; dark-green line).
About the song
“Straight to the Heart” was written by Graham Lyle and Terry Britten and appears as the first song on side one of Crystal Gayle’s 13th studio album of the same name. The song is about dealing with problems in a relationship and emotional distance. Released as a single in November 1986, it went to #1 on the Billboard Hot Country Singles chart. It would become Gayle’s last #1 record on the country charts. Personnel on the record were: Crystal Gayle (lead, backing vocals), Mike Lawler (synthesizers), Steve Gibson, Josh Leo (electric guitars), Michael Rhodes (bass), James Stroud (drums, percussion), Jim Horn (saxophone), and Bruce Dees, Cindy Richardson, and Val & Birdie (backing vocals).
The album, Straight to the Heart, was recorded in 1986 at Sound Stage Studios, The Loft, and Bullet Recording in Nashville, and produced by Jim Ed Norman. Released in August 1986, it went to #12 on the Billboard Top Country Albums chart. Four singles were released from the LP. Three songs from the album were performed by Gayle, appearing as herself on the daytime television drama Another World in 1987.
Crystal Gayle (Brenda Gail Webb) is an American country music singer best known for her 1977 hit single, “Don't It Make Your Brown Eyes Blue.” Country music singer Loretta Lynn is Gayle’s older sister. Gayle has released 25 studio albums, one live album, one soundtrack album, 17 compilation albums, and 69 singles. She has sold over 40 million records worldwide. Gayle has won three ACM Awards, four American Music Awards, two CMA Awards, and a Grammy Award. She is a member of the Grand Ole Opry, has a Cherokee Medal of Honor, and is in the Native American Music Hall of Fame and the Kentucky Music Hall of Fame. She still tours and will be playing select dates in the U.S. through December.
"About the Song" -- written by Mickey McMahan , RBN Director of Musicology