FERC has approved Golden Pass Pipeline LP's request to amend -- for a second time -- its certificate to build a pipeline in East Texas that will transport regasified natural gas from the Golden Pass liquefied natural gas (LNG) receiving terminal now under construction in the southeastern part of the state.
The first amendment, which FERC approved in October, allowed Golden Pass Pipeline to replace two 43-mile, 36-inch diameter pipelines (mainline and loop) that were approved by the agency with a single 33-mile, 42-inch diameter pipeline that will run from the Golden Pass LNG terminal to an interconnection in Texas with American Electric Power's Texoma Pipeline, an intrastate pipeline (see Daily GPI, Oct. 6). The amended facilities would be capable of transporting up to 2.5 Bcf/d of regasified LNG.
The latest amendment gives Golden Pass Pipeline the green light to increase the diameter (to 42 inches from 36 inches) of a single 35-mile pipeline that will extend from the AEP Texoma interconnection to an interconnection with Transcontinental Gas Pipe Line in Louisiana (Northern Segment). The change will not alter the maximum capacity of the facilities, the company said.
Golden Pass Pipeline estimates that the total capital costs of the facilities, as amended, will increase to $557.3 million from $425.7 million. The higher costs are primarily attributable to the tight demand for construction services, higher material costs, increased construction costs for the interconnect facilities and the wider diameter of the Northern segment.
In July 2005, the Federal Energy Regulatory Commission approved the Golden Pass LNG import terminal to be sited near Sabine Pass, TX, and associated pipeline facilities (see Daily GPI, July 1, 2005). The terminal will provide up to 2 Bcf/d of gas to Southeast Texas and other markets, and is targeted for completion in 2009. The Golden Pass LNG project is a partnership of Qatar Petroleum, ExxonMobil and ConocoPhillips.
It is expected that the LNG for the Golden Pass terminal will be supplied primarily from the Ras Laffan 3 and the Qatargas 3 projects in Qatar, which will produce and process natural gas from Qatar's offshore North Field.
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