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FERC OKs Construction on Part of FGT Expansion in TX and LA

Florida Gas Transmission LLC (FGT) on Wednesday received a limited notice to proceed from FERC authorizing construction on part of its 275 MMcf/d East-West Project, an expansion to increase transport capacity along the liquefied natural gas (LNG) exporting Texas and Louisiana coasts.

Federal Energy Regulatory Commission staff cleared FGT to begin construction on the proposed Eunice-ANR Lateral, Eunice-ANR interconnect/meter and regulator (M&R) station and the Gillis-Trunkline interconnect/M&R station. According to FERC, FGT can submit a request to start construction on the remaining project facilities once it’s received the necessary federal authorizations.

In April, FERC issued a certificate for the East-West Project, which proposes new facilities across the Acadia and Calcasieu parishes in Louisiana, as well as Jefferson, Matagorda, Wharton and Orange counties, TX (CP17-8). This includes adding 25.2 miles of laterals and connection pipeline, four metering stations, auxiliary and appurtenant facilities, and modifications at one compressor station.

East-West is supported by commitments from JERA Energy America LLC, which has signed onto capacity from the Freeport LNG terminal on the Texas coast, and marketer Shell Energy North America.

The FGT system has a total capacity of 3.1 Bcf/d and includes roughly 5,325 miles of interstate pipeline stretching from South Texas along the Gulf Coast to southern Florida. FGT is a subsidiary of Citrus, a 50/50 joint venture of Kinder Morgan Inc. and Energy Transfer Partners LP.

The East-West expansion focuses on delivery on the western end of FGT, a primary outlet for gas traveling east to serve demand in Florida.

Thanks to LNG exports and pipeline exports to Mexico, the Gulf Coast’s traditional role as a source of supply is changing as more production competes to tap the region’s growing demand. The Energy Information Administration said recently that it expects total pipeline capacity into the South Central region to reach 19 Bcf/d by the end of the year.

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