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Trunkline Seeks OK to Modify Natural Gas Export System
Trunkline Gas pipeline is seeking FERC authority to reconfigure an existing receipt point on its system to accommodate increased capacity and allow for the bi-directional flow of natural gas to and from the Cheniere Creole Trail Pipeline, which would deliver domestic gas to the Sabine Pass liquefied natural gas (LNG) export project in Cameron Parish, LA.
The Federal Energy Regulatory Commission already has approved the Creole Trail pipeline’s request to modify its system for the bi-directional flow.
In connection with export liquefaction project’s construction, Sabine Pass has requested firm backhaul transportation capacity on Trunkline’s pipeline system with natural gas delivery to the Creole Trail Interconnect receipt point. Trunkline constructed the interconnect and placed it into service in February 2008. Via the interconnect, Trunkline was to receive up to 1 Bcf/d of revaporized LNG from the Creole Trail LNG import terminal, which was never completed (see Daily GPI, Aug. 24, 2011).
The modifications of the existing interconnect would enable it to provide deliveries (2.5 MMcf/d to 1 Bcf/d) of natural gas from Creole Trail into Trunkline’s system and receipts (2.5 MMcf/d to 1 Bcf/d) of gas from the Trunkline pipeline into Creole Trail. Trunkline said it will perform its modifications at the same time as Creole is conducting its modifications to the existing Creole Trail Interconnect. The estimated cost of the proposed modification is $965,000, which would be fully reimbursed by Creole Trail, according to Trunkline.
A precedent agreement provides that Trunkline and Sabine Pass Liquefaction will enter into a firm transportation service agreement for the necessary backhaul service within 30 days after the modifications are in service. The service is to begin between Oct. 1, 2015 and Sept. 30, 2016.
Sabine Pass is the first and only Lower 48 liquefaction/export facility to be approved by FERC (see Daily GPI, April 18, 2012). The project also is the first to receive Department of Energy approval to export LNG to countries that are not parties to a U.S. free trade agreement.
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