Koch Gateway Pipeline is planning a new 600 MMcf/d pipelineexpansion from the Grand Isle, LA, area to Koch’s mainline inLouisiana. The project is designed to meet increasing demand fromdeep-water Gulf of Mexico producers seeking new delivery capacityand will complement Koch’s recently proposed Sea Star Pipeline. SeaStar is expected to deliver 660 MMcf/d of gas to Grand Isleprocessing plants from the South Pass and West Delta South Additionof the Offshore Continental Shelf.

“This phased expansion of our pipeline provides Koch shippersaccess to new deep-water supplies,” said Koch Midstream EnterprisesPresident John Gibson. Initially, Koch plans to build a five-milesupply lateral to connect its mainline to Grand Isle. That firstphase will create an additional 300 MMcf/d of supply access at alow cost. Koch said the costs will fall under its blanketcertificate limits and will cause no rate impact. Phase II, whichis contingent on demand, would require looping and compression thatwould add another 300 MMcf/d.

Koch said it will be offering discounted rates to power plantsand industrial and pipeline interconnects from Grand Isle. Contractwill have minimum three-year terms. Koch Gateway’s mainlineprovides interconnects with nine major interstate pipelines. Formore details call Koch’s Kyla Dodson at (713) 544-6259 or email herat dodson@kochind.com.

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