FERC Tuesday issued a certificate order approving Perryville Gas Storage LLC’s request to construct a salt dome storage facility and associated facilities in the Crowville Salt Dome in northeast Louisiana.

The proposed storage facility, which would be located 12 miles south of Delhi, LA, would provide approximately 15 Bcf of working capacity in two caverns. Commercial storage services for the first of the two caverns are expected to begin in the third quarter of 2012, according to Houston-based Perryville Gas, a wholly owned subsidiary of Cardinal Gas Storage Partners.

The storage project would have peak withdrawal of 600 MMcf/d with one cavern in service, which would climb to 1.2 Bcf/d of peak deliverability when both are operating. Its initial peak injection rate would be about 226 MMcf/d, the company said (see Daily GPI, Oct. 26, 2009).

The facility would have two direct pipeline interconnections — an 11.8-mile, 36-inch diameter interconnect with CenterPoint Energy Gas Transmission and a 2.56-mile, 24-inch diameter interconnect with Columbia Gulf Transmission. The proposed facility also would have potential access to CenterPoint Energy’s Perryville Hub and a number of other pipelines at Delhi.

The project would provide storage for natural gas coming from the Gulf of Mexico and shale gas supplies from North Louisiana and Texas, said David Hayden, senior vice president of Cardinal.

Cardinal Gas Storage was formed in 2008 as a joint venture of Martin Resource Management Corp. and Energy Capital Partners for the purpose of developing and owning gas storage facilities. Cardinal also owns Arcadia Gas Storage LLC in North Louisiana and is in the process of developing other gas storage facilities in North America.

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