NGPL and Cheniere announce agreement

Natural Gas Pipeline Company of America (NGPL) and Corpus Christi Liquefaction LLC, a subsidiary of Cheniere Energy Inc., have announced an agreement where NGPL will supply 385 000 dekatherms per day (Dth/d) of southbound natural gas transportation capacity to the Corpus Christi Liquefaction Project. The agreement is for a 20-year term.

NGPL President, David Devine, commented: “We are pleased to move forward with this project as gas production increases in the Utica and Marcellus shale and markets continue to grow along the Gulf Coast. Additionally, we are delighted to provide transportation for Cheniere to bring attractively-priced supply to their LNG export facility being developed near Corpus Christi, Texas.”

NGPL expects to invest approximately US$212 million in facilities to enable it to complete the first phase of its Gulf Coast Market Expansion Project. This will increase NGPL’s total southbound capacity from multiple receipt points to existing and growing markets along Texas and the Louisiana Gulf Coast.

Corey Grindal, Vice President of Supply and Marketing for Cheniere, said: “Once again, we have the pleasure of working with Kinder Morgan and NGPL to secure transportation capacity that will provide additional certainty of gas supply for the Corpus Christi Liquefaction Project, which is now under construction. It’s important that we secure access to pipeline capacity to ensure reliability and deliverability of natural gas to our liquefaction facility.”

Edited from press release by Angharad Lock

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/11092015/ngpl-and-cheniere-announce-agreement-1265/