Tellurian Inc. is looking for approval from FERC to build a 37-mile, dual 42-inch pipeline system in Louisiana to meet natural gas demand in the Lake Charles area and potentially serve its proposed export terminal.
The Line 200 and 300 project would pair supplies from various production regions with growing industrial, petrochemical, manufacturing, power generation, residential and liquefied natural gas (LNG) demand. The system would plug a supply gap between Lake Charles and a pipeline network about 30 miles north.
Subsidiary Driftwood Pipeline LLC launched a binding open season earlier this year to secure firm transportation on Line 200 and 300. In its Federal Energy Regulatory Commission filing, Tellurian said it signed a 20-year transportation agreement for 4.6 million Dth/d with an undisclosed foundation shipper.
The dual system would pick up supplies from existing pipeline infrastructure in the state near Ragley in Beauregard Parish and terminate near Carlyss in Calcasieu Parish at a new meter station near Tellurian’s proposed Driftwood LNG export terminal.
The company said part of the system’s design calls for powering a compressor station with electricity to help cut carbon dioxide emissions.
Tellurian requested FERC approval by the end of 2022. Service could begin in 2024.
FERC approved the Driftwood Pipeline project in 2019 to deliver feed gas to the planned 27.6 million metric tons/year export facility.
Last year, Tellurian withdrew the proposed Permian Global Access Pipeline from FERC’s review as the global gas market faced challenges amid the pandemic. The company also has not recently updated projections for the Haynesville Global Access Pipeline or Delhi Connector, which were proposed to provide export supplies. The company’s website only lists plans for the Driftwood Pipeline and Line 200 and 300.
Tellurian recently announced a pair of deals to supply Vitol Inc. and Gunvor Group Ltd. with LNG. The agreements are considered another step toward sanctioning the Driftwood export project.
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