Southern Union Co. recently received approval from the Federal Energy Regulatory Commission to place its Trunkline LNG Infrastructure Enhancement Project (IEP) into service. IEP involved two components: the installation of four ambient air vaporization units and the construction of a natural gas liquids (NGL) extraction facility. Trunkline LNG Co. LLC in Lake Charles, LA, is the only liquefied natural gas (LNG) regasification terminal in North America to employ ambient air vaporization technology, the company said. BG LNG Services is the facility’s customer. The availability of an NGL extraction facility will provide BG with greater flexibility in sourcing its LNG supply, Southern Union said. The terminal is fully contracted to BG through 2030. IEP cost approximately $430 million, excluding capitalized interest, and is expected to generate operating income of $55-60 million per year.

Chesapeake Utilities said it has inked an agreement with Mountaire Farms of Delaware Inc. of Millsboro, DE, to provide the poultry plant with natural gas service. The anticipated annual margin from the consumption of natural gas at the Mountaire Farm’s Millsboro facility equates to approximately 850 average residential heating customers. In addition, by replacing Mountaire Farms’ current energy source with natural gas service, Chesapeake Utilities said Mountaire will directly reduce their carbon dioxide emissions by over 25%, which equates to taking more than 1,000 cars off the road that drive 12,000 miles a year at 20 miles per gallon. To supply the gas, Chesapeake Utilities will have to extend its distribution main infrastructure by over 2.5 miles along with an extension of 1.7 miles in Sussex County of its transmission pipeline system, Eastern Shore Natural Gas Co. Chesapeake Utilities’ natural gas distribution operations serve approximately 116,600 residential, commercial and industrial customers in Delaware, Maryland and Florida.

ATCO Midstream and SaskEnergy Inc. have completed an an expansion of the Kisbey Gas Plant in southeastern Saskatchewan, the companies said. The $44 million project was funded by SaskEnergy’s Bayhurst Energy Services Corp. and ATCO Midstream and triples the capacity of the Kisbey Gas Plant to 5 MMcf/d. It also extends the associated gathering system, which was purchased by the companies in 2007. Increased oil production in the area created additional gas production volumes, which were being flared. The expansion captures the gas for productive use.

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