New Gas Pipelines Up and Running

Between November 2020 and January 2021, four natural gas pipelines were up and running in the United States. Those pipelines are:

  • The Saginaw Trail Pipeline of Consumer Energy came online in late November 2020. This intrastate project replaced and expanded infrastructure in Michigan. As stated on Consumer Energy’s website, “the Saginaw Trail Pipeline is a four-phase, $610 million project to modernize the natural gas infrastructure in Saginaw, Genesee and Oakland counties.”
  • The second pipeline is the Buckeye Xpress Project. According to oilprice.com, The Buckeye Xpress Project with 0.3 Bcf/d capacity, began operations in December 2020. Columbia Gas Transmission’s $709 million project involved infrastructure improvements and replaced 66 miles of existing natural gas pipeline with a more reliable 36-inch pipe in Ohio and West Virginia. Buckeye Xpress boosted natural gas transportation capacity out of the major gas basin Appalachia into Columbia Gas Transmission’s interconnection in Leach, Kentucky, and the TCO Pool in West Virginia.
  • Kinder Morgan’s Permian Highway Pipeline started operations in January 2021. According to Kinder Morgan’s website, PHP delivers natural gas from the Waha to Katy, Texas area, with connections to the U.S. Gulf Coast and Mexico markets. Fully subscribed under long-term contracts, PHP provides approximately 2.1 billion cubic feet per day of incremental natural gas capacity, helping to reduce Permian Basin natural gas flaring.
  • Agua Blanca Expansion Project of Whitewater/MPLX started operations at the end of January 2021. This project connects nearly 20 natural gas processing sites in the Delaware Basin and transporting an additional 1.8 Bcf/d of natural gas to the Waha Hub. Agua Blanca is planned to also connect with the Whistler Pipeline scheduled to be completed in the third quarter of 2021 and expected to carry 2.0 Bcf/d of natural gas from the Permian to the Texas Gulf Coast.

Time will tell to see how many more gas pipelines enter service in the near future. President Biden shut down the Keystone XL project as soon as he took office, but more recently backed a natural gas project that ended up in the Supreme Court.

https://oilprice.com/Latest-Energy-News/World-News/Four-New-Natural-Gas-Pipelines-Come-Online-In-The-US.html

https://ir.kindermorgan.com/news/news-details/2021/Kinder-Morgan-Announces-Commercial-In-Service-of-Permian-Highway-Pipeline/default.aspx

https://oilprice.com/Latest-Energy-News/World-News/Biden-Shocks-Environmentalists-Supports-Gas-Pipeline-In-Supreme-Court-Case.html

 

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