March 2017, Vol. 244, No. 3

Projects

Projects

Atlantic Sunrise Pipeline Approved

FERC authorized Williams Partners’ Atlantic Sunrise Expansion Project – an expansion of the existing Transco natural gas pipeline – to connect Marcellus gas supplies with markets in the Mid-Atlantic and southeastern United States. The project is designed to supply natural gas to over 7 million American homes by connecting producing regions in northeastern Pennsylvania to markets in the Mid-Atlantic and southeastern states. The expansion will add 1.7 MMDth/d of pipeline capacity to the Transco system.

The preliminary project design includes 183 miles of new greenfield pipe (Central Penn North and Central Penn South), two pipeline loops totaling about 12 miles (Chapman Loop, Unity Loop), 2½ miles of existing pipeline replacement, two new compressor facilities in Pennsylvania and other facility additions or modifications in Pennsylvania, Maryland, Virginia, North Carolina, South Carolina.

Williams Partners expects to begin construction on the mainline portion of the project facilities in mid-2017. The mainline facilities will provide a path from the northern part of the Transco system to markets along the Eastern Seaboard for part of the project capacity in time for the 2017-18 heating season. Construction on the Central Penn Line, the greenfield portion of the project, is expected to start early in the third quarter which would allow the entire project to be placed in-service in mid-2018.

FERC OKs Rover Pipeline

FERC approved Energy Transfer Partners’ application to construct and operate the Rover Pipeline Project, allowing Rover to move forward with its pipeline. Rover has already notified FERC it has accepted the certificate. FERC’s order also approved Rover’s proposed tariff rates without modification. Rover anticipates it can meet its targeted in-service goals of July for Phase I and November for Phase II.

The project consists of new interstate pipeline and related facilities extending from the Appalachian supply area to a proposed interconnection with Vector Pipeline in Livingston County, MI. The Rover Pipeline will transport up to 3.25 Bcf/d of natural gas to markets in the Midwest, Northeast, East Coast, Gulf Coast and Canada, with direct deliveries to Ohio, West Virginia and Michigan, and into the Dawn Hub in Ontario, Canada, which has a broader network of distribution points back into the U.S.

Northern Access Project Gets Green Light

National Fuel Gas Supply Corp. and Empire Pipeline received notice FERC has approved their application to build the Northern Access Project. The project, an expansion of the interstate natural gas pipeline infrastructure systems of the two companies, will transport natural gas throughout the North American pipeline system. The Northern Access consists of 97 miles of new pipeline to be built within McKean County, PA and the New York counties of Allegheny, Cattaraugus, Erie. Additionally, about 2 miles of new pipeline to be constructed in Niagara County, NY.

The project will compression facilities at an existing compressor station in Erie County, along with a new compressor station and a new dehydration facility, both in Niagara County. The pipeline will be connected with the existing the National Fuel pipeline network. Once finished, the project will provide in total 490,000 Dth/d of incremental firm transportation capacity. 140,000 Dth/d will be transported to the Tennessee Gas Pipeline 200 Line, serving New York state and New England markets. The remaining 350,000 Dth/d of incremental firm transportation capacity will be transported to Empire’s pipeline system, providing access to New York state, along with Canadian, Northeast and Midwest U.S. markets.

Velocity Midstream to Construct Oklahoma Oil Pipeline

Velocity Central Oklahoma Pipeline secured long-term customer commitments supporting the construction of a second oil pipeline through the South Central Oklahoma Oil Province (SCOOP), providing connections to Cushing and the Wynnewood refinery owned by CVR Refining.

Velocity Midstream said it enlisted long-term anchor customers for the 41-mile, 8-inch pipeline and four terminal expansions that will allow producers to transport up to 100,000 bpd of truck-injected or pipeline-gathered barrels to the market. The new pipeline will directly connect to the company’s previously announced 26-mile, 12-inch Wynnewood Pipeline project, expected to be in service in April at an initial capacity of 45,000 bpd of oil and a maximum capacity of 120,000 bpd.

Eagle LNG Files with FERC for Jacksonville LNG Project

Eagle LNG Partners reached a major milestone, filing a formal application with FERC for authorization to construct and operate the Jacksonville LNG Project located on the St. Johns River in Jacksonville, FL. The proposed project consists of three liquefaction trains and at full buildout will be capable of producing up to 1.65 million gallons of LNG per day which will be transported to markets in the Caribbean and Latin America for power generation. It will also be delivered to local and regional markets, including marine bunkering and high-horsepower applications for domestic consumption.

Leach Xpress, Rayne XPress Projects Move Forward

TransCanada received word FERC approved construction of the Leach XPress and Rayne XPress projects. The combined $1.8 billion investments will provide additional outlets to transport natural gas from the Marcellus and Utica areas to the Midwest and Gulf Coast markets.

The issuing of certificates of public convenience and necessity follows the September release of FERC’s final environmental impact statement for the projects. Once final regulatory approvals are obtained, TransCanada plans to begin right-of-way preparation and construction activities on both projects in and is reviewing the projects’ overall timeline in an effort to maintain its November in-service date.

The $1.4 billion investment in Leach XPress will enable transport of 1.5 Bcf/d of natural gas from the Marcellus and Utica supply basin along the 160-mile greenfield project, which crosses the northern panhandle of West Virginia, and then traverses southeastern Ohio.

Rayne XPress primarily involves the construction of two compressor stations along TransCanada’s existing Columbia Gulf system. It is designed to create an additional 1 Bcf/d of capacity to allow transport from Marcellus to markets in the Gulf Coast region and beyond.

Line 10 Westover Segment Replacement Project Approved

The National Energy Board (NEB) approved Enbridge’s Line 10 Westover Segment Replacement Project in southern Ontario. The project will replace 22 miles of 12-inch steel pipe, which dates from 1962, with 20-inch line. The majority of Line 10 was replaced with 20-inch line in the 1970s and 1980s – the Westover-to-Binbrook segment is one of the line’s original 12-inch segments.

The project will connect Enbridge’s Westover Terminal to its Nanticoke Junction Facility in the city of Hamilton. The project includes three new sections for proposed reroutes from the existing right-of-way, totaling about 7 miles, is expected to be complete by the first quarter of 2018.

Plains All American to Increase Cactus Pipeline Capacity

Plains All American Pipeline is expanding capacity on its Cactus Pipeline from McCamey to Gardendale, TX to about 390,000 bpd, increasing volumes from the Permian Basin to Corpus Christi and other delivery points along the system. The expansion includes manifold and metering enhancements at the origination station, anticipated to be completed in the third quarter.

The 310-mile, 20-inch pipeline will carry crude oil from the Permian Basin to the PAA/Enterprise Products Partners Eagle Ford Joint Venture (Eagle Ford JV) Pipeline. The Eagle Ford JV Pipeline has a capacity of 660,000 bpd and serves the Three Rivers and Corpus Christi markets directly. It also can supply the Houston-area market through a connection to the Enterprise South Texas Crude Oil Pipeline.

Company Plans Galliano LNG Plant at Port Fourchon

Officials are planning an $800 million LNG plant and export terminal at Port Fourchon, LA, according to the Greater Lafourche Port Commission and one of the port’s tenants, Energy World USA. The proposed Galliano facility will produce up to 2 mtpa of LNG for export, officials said. It will also operate a separate plant to provide LNG to fuel offshore supply vessels in the Gulf of Mexico.

Energy World USA is part of the Energy World International Ltd., which has a controlling interest in the Australian public company Energy World Corp. The LNG produced at Port Fourchon will initially be exported to the company’s own gas-fired power plants across the Asia-Pacific region and also be sold in the U.S. markets for marine use, officials said.

Navigator Energy Services Expands BSG System 

Navigator Energy Services began expanding the footprint, destination options, storage and throughput capacity of its Big Spring Gateway Pipeline System (BSG System), serving the prolific Permian Basin in West Texas. Upon completion of the expansion, the BSG System will include more than 650 miles of pipeline and a total system deliverability of 600 MMbpd.

The expansion will include 25 miles of laterals to connect to the Centurion Pipeline and Permian Express Terminal; a new destination point into Plains All American’s Basin Pipeline at China Grove/Colorado City; an increase in capacity to Colorado City destinations of at least 190,000 bpd of crude oil; 50 miles of mainline into Midland and Upton counties; and a truck offload station with four dedicated offload lanes near the Pegasus Field in Midland County.

The BSG System expansion is expected to be in-service during the first half of 2017. In support of the expansion, Navigator has launched a supplemental binding open season for additional transportation commitments to the BSG System.

Essar Projects Awarded Pipeline Contract

Essar Projects won a contract for a 62-mile pipeline from GSPL India Gasnet Ltd. (GIGL).The project involves laying natural gas pipelines between Jalandhar and Amritsar, a critical segment of the 1,305-mile Mehsana-Bhatinda-Jammu-Srinagar Pipeline (MBJSPL) project that passes through 29 districts in five states. The MBJSPL project caters to the growing demand for natural gas in India, which is the world’s third-largest energy consuming country and accounts fora third of global consumption.

GIGL was incorporated in 2011 as a special purpose entity to build the pipeline, and is promoted by Gujarat State Petronet along with Indian Oil, Bharat Petroleum and Hindustan Petroleum. The Jalandhar-Amritsar section is among the three sections for which GIGL completed the tender evaluation process.

ILF Consulting Engineers Wins Contract for TAPI Pipeline

TAPI Pipeline awarded ILF Consulting Engineers a contract to develop front end engineering and design, along with providing project management and technical supervision services for the Afghanistan-Pakistan section of the Turkmenistan-Afghanistan-Pakistan-India (TAPI) natural gas pipeline.

TAPI Pipeline plans to export up to 33 Bcm/y of natural gas from the Galkynysh field in Turkmenistan through the 1,127-mile pipeline. The Afghanistan-Pakistan section is 994 miles long and includes several compressor and metering stations.