PetroLogistics Natural Gas Storage LLC has filed an application at FERC seeking to build a high-deliverability natural gas salt dome storage cavern and header pipeline at its Bayou Choctaw storage facility in Iberville Parish, LA.
The Houston-based storage developer's parent, PetroLogistics Olefins LLC, currently operates a nonjurisdictional gas storage cavern at the Bayou Choctaw storage site, along with liquids storage facilities. It also owns and operates pipelines to transport the liquids.
PetroLogistics Natural Gas proposes to build a Federal Energy Regulatory Commission (FERC)-jurisdictional storage cavern capable of storing 9 Bcf of natural gas, of which 6 Bcf would be working gas. The facility would have the capability to receive 150-350 MMcf/d for injection and deliver up to 300 MMcf/d.
A proposed pipeline header would connect the natural gas storage project to several pipelines, including Southern Natural Gas Co., Texas Eastern Transmission LP, Florida Gas Transmission, Bridgeline Pipeline System and CrossTex LIG Pipeline Co., according to PetroLogistics Natural Gas. The company said it is also considering connecting with other interstate and intrastate pipes.
BG Energy Merchants LLC will be the anchor customer of the project and has executed a precedent agreement for the entire 6 Bcf of firm storage capacity and associated injection and withdrawal rights at the facility, PetroLogistics Natural Gas said.
The company is seeking authorization to provide firm and interruptible natural gas storage and interruptible hub services on behalf of others, as well as charge market-based rates for its services.
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