Houston-based Gulf South Pipeline Co. LP, formerly Koch Gateway Pipeline, last week said the open season for the company’s proposed $1 billion Gulf Pines Pipeline was “extremely successful,” adding that response to the 1 Bcf/d line from the Southeast markets far exceeded the company’s expectations. The open season concluded on Sept. 19.
The proposed 600-700 mile, 36-inch diameter or greater natural gas pipeline, which was first announced in August, is expected to originate in Mobile, AL, and extend through the states of Georgia, South Carolina and North Carolina (see NGI, Aug. 20).
“The open season clearly confirmed that the demand exists for a competitive alternative to serve the growing power generation, commercial, residential and industrial markets in the southeastern United States,” said Gulf South President Rolf Gafvert.
The Gulf Pines project would interconnect with the existing Gulf South pipeline near Mobile Bay, enabling customers to access not only Mobile Bay supplies, but also gas supplies from Texas and Louisiana, including Venice and the Henry Hub, according to Gulf South, a subsidiary of Entergy-Koch LP. The proposed pipeline also would have access to multiple third-party storage facilities, such as Gulf South’s facility in Bistineau, LA.
“We anticipate that the projected growth of power plants will far exceed existing pipeline capacity in the southeastern region,” said Gulf South spokesman Marc Palazzo.
In addition to serving power generation, the company said Gulf Pines would extend farther east into the Carolinas than any existing interstate pipeline, bringing interstate pipeline service to a region that historically has not had service before.
Palazzo said the project would be filed with the Federal Energy Regulatory Commission next year. He added that the actual route of the proposed pipeline is still to be determined. Gulf South said the anticipated in-service date is sometime in 2004.
Gulf South currently owns and operates 8,800 miles of pipeline with 33 compressor stations and 120 major pipeline interconnects extending from South Texas through the Gulf States and into the Florida market area.
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