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    Tellurian Sets Open Season for Gas Pipeline

Summary

Tellurian, which is developing the Driftwood LNG complex in Louisiana, is seeking customers for part of its $7bn Tellurian Pipeline Network.

by: Dale Lunan

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Tellurian Sets Open Season for Gas Pipeline

US LNG developer Tellurian announced February 21 a non-binding open season for transportation service on its proposed $1.4bn Haynesville Global Access Pipeline (HGAP) project.

The pipeline, with a design capacity of 2bn ft3/day, is part of the previously announced Tellurian Pipeline Network, a $7bn investment in three pipelines to meet 8bn ft3/day of expected new demand in southwest Louisiana.

The 320 km HGAP would connect the Haynesville and Bossier shale gas basins in Texas with growing natural gas markets in southwest Louisiana, including Tellurian’s proposed 26mn metric tons/year Driftwood LNG complex on the Calcasieu River south of Lake Charles, Louisiana.

“HGAP will connect the Haynesville shale with growing markets in southwest Louisiana, where natural gas demand is expected to triple, reaching approximately 12bn ft3/day by 2025,” Tellurian CEO Meg Gentle said. “Louisiana continues to serve as the US natural gas market hub, requiring additional infrastructure to efficiently deliver gas from fields in the Northeast US, the Midwest, and Texas to local and global markets. HGAP will improve the connection between north and southwest Louisiana, debottlenecking existing pipeline routes and providing shippers access to expanding markets.”

Pending a successful open season (which ends April 6, 2018), negotiation of precedent agreements for capacity subscribed during the open season and receipt of all regulatory approvals, Tellurian expects to begin construction in 2022, with an in-service date in mid-2023.