Enable Midstream Partners LP has been granted approval by the Federal Energy Regulatory Commission (FERC) to construct and operate the Gulf Run Pipeline project under section 7(c) of the Natural Gas Act, the company said on June 2.
The project is designed to transport natural gas from some of the most prolific natural gas producing regions in the U.S., including the Haynesville, Marcellus, Utica and Barnett shales and the Mid-Continent region, to the U.S. Gulf Coast and is backed by a 20-year commitment for 1.1 billion cubic feet per day (Bcf/d) from cornerstone shipper Golden Pass LNG. The planned 42-inch pipeline provides for approximately 1.7 Bcf/d of capacity, allowing for upside potential beyond Golden Pass LNG’s commitment.
“We appreciate FERC’s thoughtful review of the project and all of the hard work from our best-in-class project team to reach this important milestone,” Rod Sailor, Enable president and CEO, said. “Gulf Run makes significant use of existing assets, reducing the project’s cost and environmental impact. With FERC approval and the demand for LNG increasing globally, the project is well-positioned to add new customer commitments.”
The cost for the project is currently estimated at approximately $540 million, and pipe for the project was recently acquired at favorable pricing relative to market. The contractor bidding process is underway, and the project is anticipated to be placed into service in late 2022.
Enable owns, operates and develops strategically located natural gas and crude oil infrastructure assets. Enable’s assets include approximately 14,000 miles of natural gas, crude oil, condensate and produced water gathering pipelines, approximately 2.6 Bcf/d of natural gas processing capacity, approximately 7,800 miles of interstate pipelines (including Southeast Supply Header, LLC of which Enable owns 50%), approximately 2,200 miles of intrastate pipelines and seven natural gas storage facilities comprising 84.5 billion cubic feet of storage capacity.
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