Kinder Morgan is set to commission the Gulf Coast Express Pipeline Project (GCX), a 720km-long natural gas pipeline built with an investment of around $1.75bn (£1.4bn) in Texas, on 25 September.
The company said that the 42-inch natural gas pipeline, which broke ground in May 2018, will start operations ahead of schedule.
The Gulf Coast Express Pipeline Project has been designed to transport around 2bn cubic feet (BCF) of natural gas per day drawn from the Waha Hub and other points in the Permian Basin to the Agua Dulce Hub near the Texas Gulf Coast.
Kinder Morgan said that the natural gas pipeline is fully subscribed under long-term contracts, and will help ease the current Permian Basin gas takeaway constraints and help bring down natural gas flaring.
Kinder Morgan natural gas midstream president Sital Mody said: “We are pleased to place GCX in service safely and ahead of schedule for our customers, helping to unlock tremendous value for the State of Texas.
“I am very proud of our team’s ability to execute. We had over 3,000 contractors deployed at times and more than six million contractor hours worked – all without a major safety incident during the construction phases of the project.
“With natural gas supplies projected to rise over the next 20 years from supply basins such as the Permian, our strong network of pipelines provides the ability to connect this supply to the growing markets along the Gulf Coast.”
Stakeholders in the Gulf Coast Express Pipeline Project
Kinder Morgan’s subsidiary – Kinder Morgan Texas Pipeline holds an operating stake of 34% in the Gulf Coast Express Pipeline Project. Its partners in the natural gas pipeline project are Altus Midstream, DCP Midstream, and an affiliate of Targa Resources.
As part of the Gulf Coast Express Pipeline Project, an 80km long, 36-inch diameter lateral pipeline has also been laid to connect to the Midland Basin. The lateral pipeline connects to the Targa-owned associated compression to serve gas processing facilities and facilities owned jointly by Pioneer Natural Resources and Targa.
