Enbridge Inc. is moving forward with a pair of pipeline expansion projects that would deliver 1.5 Bcf/d of natural gas to the Plaquemines liquefied natural gas (LNG) export terminal recently sanctioned by Venture Global Inc.
The Gator Express Meter (GEM) and Venice Extension projects would involve 36-inch diameter pipeline, metering and compressor station additions and improvements to the 8,580-mile Texas Eastern Transmission (Tetco) system. They would deliver feed gas to the Plaquemines terminal in Louisiana.
GEM is expected to be in service in 2023, with the Venice Extension to follow in 2024. Enbridge pegged the cost for both projects at $400 million, which is underpinned by long-term take or pay contracts.
“Enbridge is excited to continue working with Venture Global on their second LNG project to bring clean, reliable natural gas to the U.S. Gulf Coast for export to global markets,” said Cynthia Hansen, Enbridge President, Gas Transmission & Midstream. “Our Texas Eastern system is ideally positioned to supply growing North American LNG exports, which are essential to meeting society’s energy security and climate change goals.”
Venture Global’s positive final investment decision on Plaquemines is the first since August 2019, when the company also pushed forward with its Calcasieu Pass terminal in Louisiana. That project is currently being commissioned.
In addition to Plaquemines, Golden Pass LNG in Texas also has been sanctioned and is under construction. Meanwhile, Cheniere Energy Inc. could reach an FID this summer for the proposed expansion of its Corpus Christi LNG facility in South Texas.
The projects are among a group of several proposed export projects that are gaining momentum as buyers are coming to the table seeking long-term supply agreements. European buyers are working to wean themselves off Russian gas following the country’s invasion of Ukraine. Asian customers, meanwhile, are continuing their efforts to replace coal in the power generation stack with cleaner forms of energy.
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