Pipeline solution provides takeaway capacity for prolific Permian Basin
HOUSTON–(BUSINESS WIRE)–$KMI #KinderMorgan–Kinder Morgan Texas Pipeline LLC (KMTP), a subsidiary of Kinder Morgan, Inc. (NYSE: KMI), today announced the start of a non-binding open season for firm natural gas transportation service on its proposed Gulf Coast Express Pipeline Project, which will provide an outlet for increased natural gas production from the Permian Basin to growing markets along the Texas Gulf Coast. The project is designed to transport up to 1,700,000 dekatherms per day of natural gas through approximately 430 miles of 42-inch pipeline from the area near Waha, Texas, to Agua Dulce, Texas. The pipeline will be in service in the second half of 2019, subject to shipper commitments.
Natural gas supply will be sourced into the project from multiple locations, including existing receipt points along KMI’s KMTP and El Paso Natural Gas pipeline systems in the Permian Basin, a proposed interconnection with the Trans-Pecos Pipeline, and additional interconnections to both intrastate and interstate pipeline systems in the Waha area. Deliveries of natural gas into the Agua Dulce area will include points into KMTP’s existing Gulf Coast network, KMI-owned intrastate affiliates (KM Tejas and KM Border pipelines), the Spectra Valley Crossing pipeline, the NET Mexico header, and multiple other intrastate and interstate natural gas pipelines.
“The Gulf Coast Express Pipeline Project connects growing natural gas supplies in the Permian Basin with expanding markets for natural gas on the Texas Gulf Coast, including export markets via liquefied natural gas and deliveries into Mexico, while providing shippers flow assurance and margin enhancement through a wide variety of interconnecting pipelines,” said Kinder Morgan Natural Gas Midstream President Duane Kokinda. “We believe Agua Dulce is a natural destination for incremental Permian production due to the existing and planned pipeline infrastructure in that area.”
The open season bid period begins on March 22, 2017, and ends at 5 p.m. Central Time on April 20, 2017. Interested parties should submit their written request for the Non-Binding Bidding Guidelines to Dave Grisko, vice president of business development for Kinder Morgan’s Natural Gas Midstream group, at [email protected] or (713) 369-9870.
Kinder Morgan, Inc. (NYSE: KMI) is one of the largest energy infrastructure companies in North America. It owns an interest in or operates approximately 84,000 miles of pipelines and 155 terminals. The company’s pipelines transport natural gas, gasoline, crude oil, CO2 and other products, and its terminals store and handle petroleum products, chemicals and other products. For more information please visit www.kindermorgan.com.
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