Independent gas storage developer NGS Energy has announced that it will develop a new gas transportation and storage hub from Perryville to Delhi in northeast Louisiana.
NGS Energy said that this new hub, the Gulf Coast Connector, will be ideally situated to connect the Barnett Shale gas play to higher valued markets and will provide greater reliability to both producers and consumers of gas throughout the region.
The project will have interconnections with up to 13 interstate and intrastate pipeline transmission systems as well as three proposed pipelines. By joining several new pipeline projects with existing infrastructure that serves nearly every major market east of the Rockies, the hub will be one of the most liquid and dynamic hubs in North America, according to NGS.
The connector will utilize salt storage caverns to provide a full menu of highly flexible storage and hub related services. The hub will reportedly offer firm transportation and wheeling services on the system independent of storage.
The project is expected to file an application for a certificate of public convenience and necessity with the Federal Energy Regulation Commission in early 2008, targeting a mid-2009 date for firm transportation and early 2010 date for firm storage.