El Paso Corp. affiliates Southern LNG Inc., Elba Express Co. and Southern Natural Gas pipeline have filed applications at FERC seeking to double the storage and sendout capacity of Southern LNG’s liquefied natural gas (LNG) import terminal in Georgia and to build a new 190-mile, 1.2 Bcf/d gas pipeline to move revaporized LNG to downstream gas markets.

Specifically, Southern LNG is seeking authorization to expand its existing LNG terminal on Elba Island in Chatham County, GA, with construction starting in late 2007. The project will involve construction of two new LNG storage tanks, each having a storage capacity equivalent to 4.22 Bcf, construction of additional vaporization facilities to provide 900 MMcf/d of additional sendout capacity, and modification of marine facilities to accommodate larger LNG tankers and speed simultaneous unloading of two tankers. It also has requested authority to abandon an unutilized dock [CP06-470].

Elba Express proposes to acquire an undivided interest in Southern Natural Gas’ Twin 30s pipelines that extend from Southern LNG’s Elba Island terminal to the pipeline’s system in Port Wentworth, GA; construct a 189-mile, 42-inch and 36-inch diameter interstate pipeline that would run from Port Wentworth through several Georgia counties to interconnect with Transcontinental Gas Pipe Line in Hart County, GA, and Anderson County, SC; and construct and operate a 10,000 horsepower compressor station on the new line in Jenkins County.

Upon completion of the compression, the pipeline would have the capability to transport up to 1.2 Bcf/d of revaporized LNG to Transco, which supplies markets in the Southeast, Mid-Atlantic and Northeast regions.

Southern Natural Gas has requested authority to transfer an undivided interest in its Twin 30s pipelines to Elba Express. It also seeks permission to acquire an undivided interest in a portion of the pipeline proposed by Elba Express.

The projects collectively are known as the Elba III Project. El Paso expects to complete Elba III in two phases with phase one in service in 2010 and phase two completed in 2012.

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