Kinder Morgan sets service date for Elba Island LNG, moves forward on Gulf LNG [Houston Chronicle]

April 18– Apr. 18Houston pipeline operator Kinder Morgan has set a target date of May 1 to begin operations at its Elba Island LNG export terminal in Georgia and moved one step forward on obtaining a permit to build another liquefied natural gas export terminal in Mississippi.

As part of the company’s first quarter earnings released on Wednesday afternoon, Kinder Morgan revealed that the first of 10 production units at its $2 billion LNG export terminal in Savannah, Georgia is expected to be placed into service by May 1.

The remaining nine units will be placed into service sequentially at a rate of one per month. Once all of them are in operation, the Georgia facility will be able to make up to 2.5 million metrics tons of LNG per year.

Officials with the Federal Energy Regulatory Commission have meanwhile given Kinder Morgan’s proposed Gulf LNG export terminal in Pascagoula, Mississippi the green light in a final environmental impact statement released on Wednesday morning.

FERC officials are expected to make a final permit decision about the project in July. Aside from traffic during construction, the report stated that the proposed project is not expected have any significant impacts on the environment or surrounding communities.

Located off State Highway 611 in Pascagoula, Gulf LNG is expected to be built on a 230-acre site that includes more than 38 acres of wetlands. However, Kinder Morgan has pledge to create 50 acres of tidal salt marsh to mitigate those impacts.

“We conclude that the potential impacts of the project, when combined with the impacts from the

other projects considered in the geographic scope, would not result in a significant impact on resources,” FERC officials wrote in the report

Kinder Morgan originally developed the Gulf LNG site as a liquefied natural gas import terminal in 2009. But with record production from U.S. shale plays creating a surplus of natural gas, the Houston company filed an application with FERC in July 2015 seeking permission to redevelop part of the site as an export terminal.

Dave Conover, a spokesman for Kinder Morgan, said the company was pleased that the proposed project export terminal received a positive final environmental impact statement.

“While this brings us one step closer, reaching a final investment decision remains contingent on the resolution of various other commercial and financing factors and agreements that must be achieved,” Conover said.


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