Caliber Midstream Expands Operations in North Dakota

Caliber Midstream Holdings, L.P. acquired assets previously owned by American Midstream Partners, L.P, in North Dakota. With the acquisition, Caliber now owns and operates 368 miles of pipeline across its four service lines in McKenzie County, North Dakota.

The acquired assets will widen Caliber’s area of operations within McKenzie County, North Dakota that includes a FERC-regulated 47-mile pipeline and related facilities with the ability to transport crude oil to the Tesoro High Plains Pipeline and the Energy Transfer Dakota Access Pipeline.

“This bolt-on acquisition is another step in executing our growth strategy. Our goal is to become a top-tier midstream company,” said Caliber Chief Executive Officer and President Daniel Werth. The company is scheduled to add 11 miles to its crude gathering and transmission system by year end.

Source:
worldpipelines

FERC Approval Requested for Leidy South Project

Transco interstate pipeline, operated by Williams has filed an application with the Federal Energy Regulatory Commission seeking authorization for its Leidy South project. The proposed project will connect robust supplies of natural gas in the Marcellus and Utica producing regions in Pennsylvania with markets along the Atlantic Seaboard.

“The Leidy South project will allow Williams to continue to grow our strategic footprint in the gas-rich Marcellus region, creating a unique opportunity to expand Transco by leveraging recent expansions on Williams’ Northeast Gathering & Processing assets in Pennsylvania,” said Micheal Dunn, chief operating officer of Williams.

The project will also expand Transco’s firm transportation capacity by 582400 dekatherms per day from the Leidy Hub and Zick interconnect to points downstream in Transco’s Zone 5 and Zone 6 market areas. The project is expected to cost $531 million and a target in-service of 1st December, 2021.

By maximizing the use of existing Transco pipeline infrastructure and rights of way in Pennsylvania, the project is designed to minimize environmental impacts which includes 6.3 miles of existing pipe replacement, 5.9 miles of new pipeline loop segments along the existing Transco pipeline corridor, and horsepower additions at two existing compressor facilities. Two new Greenfield compressor facilities in Pennsylvania is also planned for this project.

Source:
worldpipelines

252 Mile Pipeline Proposed by Port Arthur LNG

Port Arthur LNG proposed the 252-mile Port Arthur Pipeline Louisiana Connector Extension Project that will include approximately a 48-inch diameter pipeline stretching from near Port Arthur, Texas, to Delhi, Louisiana, in Richland Parish.

According to Port Authur LNG, here will be two compressor stations, one in Richland Parish and another one in Allen Parish. The company held a meeting Wednesday night in south Louisiana for those who may be impacted by the proposed pipeline.

“We’re in the very early stages. All of these projects are regulated by the federal energy regulatory commission. Part of that process involves reaching out to the public, giving them the opportunity to come and learn about our project, to see if the project may or may not affect them, personally, directly," Jim Thompson, environmental project manager, said.

The process to even start construction on the project is still a few years out as Thompson said “We expect to file our application in February of 2020 and receive approval from the Federal Energy Regulatory Commission in early 2021. The pipeline, however, won’t start construction until 2022."

Once the construction starts, the company is estimating that it will only take six to nine months to complete the pipeline, pending Federal Energy Regulatory Commission approvals.

Source:
knoe

Kinder Morgan's Gulf LNG Project Gets Green Light from FERC

The Federal Energy Regulatory Commission gave Kinder Morgan the approval to build its Gulf LNG export project in Mississippi in a 3-1 vote. The proposed project would add 11.5 million metric tons of new capacity to Kinder Morgan's terminal in Pascagoula, Mississippi, which would include two liquefaction plants.

Some Democrats opposed and concerned about LNG terminals' impacts on climate change, but FERC Chairman Neil Chaterjee praised the vote tweeting, "This is big news for the US & our allies. Today's approval of #GulfLNG is significant for the economy & America's geopolitical interests."

The company initially developed the Gulf LNG site as a liquefied natural gas import terminal in 2009. But with record production from U.S. shale plays creating a surplus of natural gas, the company filed an application with FERC in July 2015 seeking permission to redevelop part of the site as an export terminal.

The project will also modify the existing Gulf LNG Pipeline allow for bidirectional flow. It's the fifth LNG export project the agency has approved so far this year.

Source:
chron

Mountain Valley Pipeline Timing Delayed, Raised Estimated Cost

Due to the ongoing legal and regulatory challenges, EQM Midstream Partners LP has raised the estimated cost of its Mountain Valley natural gas pipeline and also delayed the project completion time, Reuters reported.

The initial estimate when EQM started construction on Mountain Valley was about $3.5 billion and to be completed by the end of 2018. But those estimates were raised and now the estimated cost has been raised from $4.6 billion to $4.8 - $5 billion. Also the target to complete the project was delayed from the fourth quarter of 2019 to mid-2020.

The 303 mile Mountain Valley natural gas pipeline extends from West Virginia to Virginia and is designed to deliver 2 billion cubic feet per day of natural gas. EQM commented that it had submitted a land exchange proposal to the federal government in an effort to enable the pipe to cross the Appalachian Trail.

The company’s land exchange proposal would grant the federal government full ownership of private lands crossed by the Appalachian Trail, including certain private land located adjacent to the Jefferson National Forest and in exchange, the government would grant Mountain Valley a right-of-way to cross the trail using the pipeline’s previously planned underground method at an existing crossing location approved by the FERC in 2017.

Source:
worldpipelines

LNG Limited to Boost Production Capacity at Louisiana Export Terminal

LNG Limited, an Australian company has been seeking permission from federal regulators to boost the production at its proposed Magnolia LNG export terminal in Louisiana. The company has already been authorized to produce 8 million metric tons of liquefied natural gas per day, but has made a request to increase the capacity to 8.8 million metric tons per year.

"LNG Limited is committed to building the safest low-cost and most efficient LNG export facility on the U.S. Gulf Coast," LNG Limited Chief Executive Greg Vesey said in statement. "We thank FERC for their previous diligence on Magnolia and are ready for the continued engagement as the agency performs analysis on Magnolia's capacity increase best answered through the preparation of a supplemental EIS."

A notice of intent to prepare a supplemental environmental impact statement for the production capacity increase was issued by Federal Energy Regulatory Commission on last Monday. The company is still waiting on its first supply contracts and a final investment decision on the Magnolia LNG project.

Source:
chron

Aramco to Buy LNG from Sempra

Saudi Arabian Oil Co., also known as Aramco, under a 20 year agreement, will begin buying 5 million tons of liquid natural gas per year from San Diego based Sempra Energy. As part of the deal, Aramco also will make a 25% equity investment in an LNG export facility under development in Port Arthur, Texas.

"With global demand for LNG expected to grow by around 4% per year ... we see significant opportunities in this market and we will continue to pursue strategic partnerships which enable us to meet rising global demand for LNG," Amin Nasser, the company's CEO said in a news release.

"At Sempra Energy, we are developing one of the largest LNG export infrastructure portfolios in North America, with an eye towards connecting millions of consumers to cleaner, more reliable energy sources," said Jeff Martin, CEO of Sempra, in a statement. He added that partnering with Aramco will help develop the facility and enable the export of American natural gas to global markets.

Sempra Energy recently received authorization for the Port Arthur LNG facility from Federal Energy Regulatory Commission to construct and operate the facility and related pipelines.

Source:
mysanantonio

National Grid Halts Natural Gas Hook-Ups for NYC and Long Island

National Grid announced that it will not accept any new natural gas customers in its New York City and Long Island service areas. Last week, New York Department of Environmental Conservation (DEC) denied Williams' application for water quality certification for the construction of their Northeast Supply Enhancement (NESE) pipeline.

National Grid said that until state regulators approve permits to William’s, all new natural gas hook-ups for the NYC and Long Island area will be halted. "While we continue to receive applications for new and expanded firm gas service ... none will be processed until the permits are received and (NESE) is allowed to proceed," National Grid said in a statement. 

The pipeline was approved by the FERC on May 3, but the New York DEC, in denying the permit, said the project “fails to meet New York State’s rigorous water quality standards” and “would cause impacts to habitats due to the disturbance of shellfish beds and other benthic resources.”

The NESE would be a 400,000-Mmcfd, 24-mile sub-sea pipeline costing $1 billion that will extend from the New Jersey shore across Raritan Bay and interconnecting with Williams' existing Transco pipeline into New York.

Source:
Pgjonline

Williams Partners 24-Mile Underwater Pipeline Permit Denied

New York State Department of Environmental Conservation denied a water quality permit for a 24-mile Northeast Supply Enhancement pipeline project from New Jersey to Queens. The pipeline project would expand the Transco pipeline and would allow National Grid to bring natural gas from Pennsylvania’s shale gas fields to the metropolitan region.

The pipeline was initially approved by the Federal Energy Regulatory Commission on May 3, but the environmental groups opposing the pipeline states that the pipeline will threaten marine life and extend the reliance on fossil fuels rather than renewable energy sources. Williams Partners, the pipeline developer said the project is crucial for meeting rising demand for natural gas in New York City and Long Island.

In denying the permit, the New York State Department of Environmental Conservation said the project “fails to meet New York State’s rigorous water quality standards” and “would cause impacts to habitats due to the disturbance of shellfish beds and other benthic resources.”

”Our team will be evaluating the issue and resubmitting the application quickly,” said Chris Stockton, a spokesman for Williams Partners. “We are confident that we can be responsive to this technical concern, meet our customer’s in-service date and avoid a moratorium that would have a devastating impact on the regional economy and environment.”

Source:
pgjonline

FERC Authorizes William’s Transco Natural Gas Pipeline Expansion Project

Northeast Supply Enhancement project – an expansion of the existing Transco natural gas pipeline designed to serve New York markets by Williams got certificate of public convenience and necessity from FERC, the company reported.

National Grid – the largest distributor of natural gas in the northeastern United States will receive 400,000 dekatherms per day of additional natural gas supply through the Northeast Supply Enhancement project.

With the Northeast Supply Enhancement Project, National Grid’s will be able to convert about 8,000 customers per year from heating oil to natural gas in New York City and Long Island, which is critical to keep up with new development in the area.

Williams anticipates beginning construction on the Northeast Supply Enhancement project facilities in the fall of 2019, following the receipt of all necessary regulatory approvals.

“Natural gas is a critical component of the mix of energy sources necessary to meet the region’s growing energy needs and to help meet its aggressive clean air goals,” said Williams Chief Operating Officer Michael Dunn.

“NESE will provide access to critical supply to serve our customers in New York City and on Long Island, ensuring there is enough natural gas for them to heat their homes and run their businesses,” said National Grid New York President John Bruckner.

Source:
pgjonline

FERC Approves Commissioning of $13 Billion Freeport LNG’s Export Plant

Federal regulators on Thursday approved a commissioning step for the Freeport LNG’s $13 billion Freeport liquefied natural gas (LNG) export plant in Texas. FERC approved Freeport’s request to introduce hazardous fluids to commission the liquefaction flare pilot system, a step in the process LNG terminals go through as they prepare for service.

According to U.S. engineering firm McDermott International Inc., which is building the plant, expects the first train at Freeport to enter commercial service in the third quarter, Train 2 to enter service in the first quarter of 2020 and Train 3 in the second quarter of 2020. Williams Cos Inc., is building a pipe to connect the plant to the interstate gas system.

Each train at Freeport will have the capacity to produce about 5 million tons per annum (MTPA) of LNG or around 0.7 billion cubic feet per day (bcfd) of natural gas. In addition, Freeport is developing a fourth 5-MTPA liquefaction train at the facility and could make a final investment decision on the train in the second quarter of 2019 with the plant entering service in 2023 or 2024.

Source:
reuters

$15 Billion Rio Grande LNG Gets Green Light from PHMSA

According to PHMSA’s Deputy Associate Administrator Massoud Tahamtani, the proposed Rio Grande liquefied natural gas export terminal project complies with federal pipeline safety standards. He noted that the facility is being designed to withstand winds up to 150 miles per hour, in a letter of determination made public early Tuesday morning.

FERC will use PHMSA's review to determine if the facility will receive a permit to start construction on six production units that will be able to make more than 16 million metric tons of LNG per year. A final permit decision by FERC is expected in July.

NextDecade Corp will be developing Rio Grande LNG which is one of two proposed export terminals being developed by the company. The company is also in the process of seeking state and federal approval to build the Galveston Bay LNG export terminal in Texas City.

NextDecade is expecting to make a final investment decision on the project during the third quarter, if approved by federal regulators. The liquefied natural gas export terminal and the supporting Rio Bravo pipeline are expected to result in more than $15 billion of private investment and create more than 5,000 construction jobs.

Source:
chron

Lake Charles LNG: Final Investment Decision Taken by Energy Transfer and Shell

Energy Transfer and Shell announced that they had signed a project framework agreement to advance the proposed Lake Charles LNG export terminal and that they plan to issue an invitation to tender for engineering, procurement and contracting companies to start bidding on the project, in a joint statement released on Tuesday morning.

“We are pleased to be moving forward with Shell in progressing this major LNG export project," Lake Charles LNG President Tom Mason, President said in a statement. "We believe the combination of our assets and Shell's LNG experience will create a platform for exporting natural gas from the U.S. Gulf Coast to the global marketplace that is unmatched."

Shell entered into a 50-50 joint venture with Energy Transfer in 2016 to develop a liquefaction plant that can produce up to 16.45 million metric tons of LNG per year. Under the terms of their joint venture, Energy Transfer will own and finance the proposed liquefaction facility while Shell will oversee engineering, design and construction work as well as operate the terminal once it is complete.

"Lake Charles presents a material, competitive liquefaction project with the potential to provide Shell with an operated LNG export position on the U.S. Gulf Coast by the time global supply is expected to tighten in the mid-2020's," Shell Vice President Frederic Phipps said in a statement.

If built, the export terminal project is estimated to create up to 5,000 local jobs during construction and 200 full-time positions when fully operational. Shortly after the shale revolution in 2015 that created a surplus of natural gas in the United States, Energy Transfer got permission from Federal Energy Regulatory Commission to build an export terminal at the site in 2015. The facility site was originally developed as an LNG import terminal in 2006.

Source:
chron

$18 Billion LNG Deal Expected Between Cheniere Energy and China's Sinopec

The Wall Street Journal and S&P Global Platts reported that the Cheniere Energy is close to signing an $18 billion long-term LNG supply deal with China's state-run oil company Sinopec.

The Journal reported that the deal could be announced end of March as part of a broader US-China trade deal at a summit between U.S. President Donald Trump and Chinese President Xi Jinping.

Recently FERC gave Cheniere the green light to put the first production unit at its Corpus Christi LNG unit into service and begin exports.

Cheniere signed two LNG supply deals with PetroChina International Co. a year ago and weeks after Trump’s trade mission to China in November 2017.

The Wall Street Journal also reported that the deal with Sinopec could also include financing from state-owned Chinese banks for Cheniere to further expand its export capacity.

Source:
chron

FERC Approves $680M Project: 200-Mile Pipeline Moving NatGas from Oklahoma to Gulf Coast Will Connect to Kinder & Boardwalk Pipe

Cheniere Energy and a Washington D.C. private equity firm have received approval from the Federal Energy Regulatory Commission on Wednesday to build the 200-mile Midship Pipeline. The project will move natural gas from Oklahoma to destinations along the Gulf Coast and southeastern United States in Oklahoma.

In a statement issued by the companies, $680 million in financing was secured for the 36-inch diameter natural gas pipeline and a notice was issued for contractors Strike LLC, M.G. Dyess, TRC Pipeline Services and Cenergy LLC to proceed with construction.

The Midship Pipeline is designed to move 1.4 billion cubic feet of natural gas per day from Oklahoma's SCOOP and STACK shale plays to delivery point just north of the Red River near Bennington, Oklahoma. The project is expected to be placed in service by the end of the year.

The pipeline will connect to Kinder Morgan's Midcontinent Express Pipeline and the Boardwalk Pipeline Partners-owned Gulf Crossing Pipeline, allowing natural gas from Oklahoma to move to the TexOk Hub near Atlanta, Texas and the Perryville Hub near Tallulah, Louisiana.

Source:
chron

$1.5 Billion Valley Crossing Pipeline Placed Into Service

Canadian midstream giant Enbridge filed a Thursday morning notice with FERC stating that the company has placed the Valley Crossing Pipeline into service on Feb. 14.

This $1.5 billion pipeline will move 2.6 billion cubic feet of natural gas stretching 165 miles from the Agua Dulce hub near Corpus Christi to customers south of the border in Mexico.

Valley Crossing Pipeline has been completed since October and had been waiting for the Sur de Texas-Tuxpan pipeline to be completed, which stretches from the U.S./Mexico border to the State of Veracruz and power plants in the Mexican interior.

Valley Crossing Pipeline will be connected to the Sur de Texas-Tuxpan pipeline several feet below the sea floor.

Mexico is importing around 6 billion cubic feet of natural per day from the United States and roughly 85 percent of that imported natural gas is delivered via cross-border pipelines while the rest is shipped to liquefied natural gas import terminals.

Source:
Chron

FERC Approves Mountain Valley Pipeline Project

FERC’s order approving the Mountain Valley Pipeline project was upheld by the US Court of Appeals for the D.C. Circuit. This project will deliver natural gas from West Virginia to Virginia once completed. The American Petroleum Institute issued the following statement:

“We’re pleased that the D.C. Circuit Court reaffirmed FERC’s role in the pipeline permitting process, making it clear that their scope of review is still correct,” said Robin Rorick, Vice President of Midstream and Industry Operations. “The safety of our communities and the environment is industry’s highest priority, which can be accomplished through adopting industry standards, a strong compliance culture, best practices, as well as using advanced technologies and tools. FERC conducted a thorough environmental impact study that looked at everything from groundwater to surrounding communities’ cultural attachments, and the Court’s decision underscored that no further assessments are needed to ensure a safe path forward for the project’s completion.”

“Pipelines like the Mountain Valley project make our nation more energy secure, grow the economy, and create jobs in the mid-Atlantic, all while transporting the products that Americans need to power their daily lives safely, and are pleased that the project can move forward to completion.”

API supports 10.3 million US jobs and nearly 8% of the US economy, and is the only national trade association representing all facets of the natural gas and oil industry.

More than 600 members make the API which includes large integrated companies, as well as exploration and production, refining, marketing, pipeline, marine businesses, and service and supply firms. They are backed by a growing grassroots movement of more than 47 million Americans and provide most of the nation’s energy.

Source:
World Pipelines

Kinder Morgan Entering LNG Business, FERC Gives Green Light for Elba Island LNG Startup

FERC officials issued an order on Tuesday giving permission to Kinder Morgan to start introducing chemicals into loading pumps. The process will feed a liquefied natural gas storage tank in its Elba Island LNG export terminal in Savannah, Georgia.

This will make Kinder Morgan one step closer to starting up the first of ten production units and mark the company's entrance into the LNG business. "This FERC order brings us one step closer to completing the required commissioning activities for the first unit at Elba Island," Kinder Morgan spokeswoman Katherine Hill said in a statement.

Shell has partnered with Kinder Morgan in a 20-year deal to market and export all the LNG produced at the Georgia facility. The facility will be able to produce up to 2.5 million metric tons of LNG a year.

After the first production unit is online, Kinder Morgan expects to start up the remaining nine productions one by one over nine months’ time. Those ten smaller and modular liquefaction plants will supercool natural gas and condense it to a liquid form that makes it easier to ship.

Source:
Chron


Dominion Energy Suspends 600-Mile Atlantic Coast Pipeline

Dominion Energy will be voluntarily suspending construction on their 600-mile route of the Atlantic Coast Pipeline, the company announced.

Dominion filed its decision with the FERC after citing a stay of implementation regarding a decision by the U.S. Fish and Wildlife Service granted by the 4th U.S. Circuit Court of Appeals.

A spokesman for Dominion Energy said that the construction will be suspended until they receive more clarity from the court. He added that Dominion will be filing a motion for emergency clarification on the scope of the court’s decision.

Construction was temporarily halted earlier this year after the U.S. Fish and Wildlife Service cited concerns over five endangered species. The new citations have halted the entire 600-miles of the project, but Dominion’s spokesman believes that the case involves a much narrower scope of the project.

The pipeline would begin in West Virginia and span 600 miles through parts of Virginia, including Augusta County, and into North Carolina.

Source:
WHSV

Energy Transfer's 713-Mile Pipeline Gets Final Two Laterals Approved

Energy Transfer’s 713-mile Rover Pipeline received approvals for the final two laterals of the project from the Federal Energy Commission last week.

Rover has been operational since August 2017, however additional receipt and delivery points for natural gas production in West Virginia were provided with the approval of the Sherwood Lateral, CGT Lateral and associated compression and metering facilities.

The project transports natural gas from processing plants in West Virginia, Eastern Ohio and Western Pennsylvania to the Midwest Hub near Defiance, Ohio, for delivery to markets across the U.S., as well as to the Union Gas Dawn Storage Hub in Ontario, Canada.

Source:
Pipeline and Gas Journal