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Permian Global Access Pipeline open season commences

Published by
World Pipelines,


Tellurian has announced that its subsidiary Permian Global Access Pipeline LLC is conducting a binding open season to secure prospective shippers for its proposed PGAP project (PGAP). PGAP is a proposed 42 in. diameter interstate natural gas pipeline originating at the Waha Hub in Pecos County, Texas, and terminating at Gillis, Louisiana, north of Lake Charles, Louisiana. The pipeline connects the prolific Permian Basin in Texas to the rapidly growing natural gas market in Southwest Louisiana. PGAP is estimated to cost approximately US$3.7 billion to construct and will have the capacity to transport at least 2 billion ft3/d of natural gas. Construction could begin as early as 2021 and the pipeline is targeted to be in service as early as 2023.

PGAP is part of Tellurian’s proposed pipeline network. The network represents an anticipated overall investment of approximately $7.3 billion in US infrastructure, and is expected to create approximately 15 000 jobs in Texas and Louisiana. The investment is incremental to the US$15.2 billion investment that Tellurian plans for Driftwood LNG, a proposed liquefied natural gas (LNG) export facility near Lake Charles, Louisiana.

President and CEO Meg Gentle said, “Permian producers have recently paid US$9.00/million Btu to move their natural gas away from the wellhead, reflecting the acute need for infrastructure development in the basin. By contrast, Southwest Louisiana is a market expected to grow 300% in the next five years. The Permian Global Access Pipeline is critical infrastructure that will interconnect stranded Permian gas production with growing markets, reduce flaring, and provide a valuable cleaner fuel to reduce urban pollution and carbon globally.”

The open season will begin at noon Central time on Monday 8 April 2019 and runs through Friday 24 May 2019 at 4 pm CT.

Read the article online at: https://www.worldpipelines.com/project-news/08042019/permian-global-access-pipeline-open-season-commences/

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US pipeline news Natural gas pipeline news