American Oil and Gas Reporter - September 2024 - 64

SpecialReport: Pipeline Infrastructure
until the new pipeline's expected commissioning
in mid-2025.
Construction is also underway on a
$94 million expansion of the Tejas Pipeline
extending from South Texas to Houston
through additional compression to boost
gas deliveries by 350 MMcf/d. The project
is expected to be completed by the first
quarter of next year.
In November, Kinder Morgan says it
expects to activate more lean gas treating
and transportation in the Eagle Ford's
Webb County, Tx., with a $168 million
expansion of the Texas Pipeline system.
The expansion project, which is supported
by long-term contracts, is designed to
deliver up to 400 MMcf/d into the company's
Texas Intrastate network.
" Numerous scientific and economic forecasts show
continued growth . . . over the next couple decades and
beyond . . . supported . . . by . . . key demand sectors such as
LNG exporters, data centers consuming electricity from
gas-fired power plants, and chemical demand for consumer
electronics, medical devices, electric automobiles and other
critical products. "
Tom Valore
Senior Adviser
Moss Lake Partners
Last year, the company bought the
South Texas Midstream pipeline system
and its large-diameter, high-pressure
pipelines that connect the Eagle Ford to
Mexico and Gulf Coast markets.
DeLa Express Pipeline
Amid growing and anticipated demand,
DeLa Express LLC, a subsidiary
of Moss Lake Partners, is sponsoring
the proposed DeLa Express project, a
645-mile, 42-inch mainline pipeline with
associated lateral pipelines capable of
transporting 2 Bcf/d of liquids-rich
natural gas from the Permian Basin to
high-demand consumer markets in the
Lake Charles area.
In February 2025, an application is
expected to be submitted to the Federal
Energy Regulatory Commission, according
to project details provided by Moss Lake.
A FERC certificate and notice to proceed
is anticipated by the second quarter of
2026. Construction would begin shortly
thereafter, with the line projected to go
64 THE AMERICAN OIL & GAS REPORTER
in service by mid-2028, according to
Tom Valore, senior adviser at Moss Lake
Partners.
The private Houston company, which
focuses on midstream infrastructure and
sourcing, transporting, storing and marketing
commodities, will have to acquire
more than 700 miles of rights of way to
complete the multibillion-dollar project.
The proposed line would include supply
laterals, processing and compression, Valore
notes. Three dew-point control facilities
with corresponding pipeline laterals would
feed the main line. It would include multiple
compressor stations to transport the
gas to Calcasieu Parish in southwestern
Louisiana.
" Numerous scientific and economic
forecasts show continued growth in natural
gas and liquids production in the Permian
Basin over the next couple decades and
beyond, " observes Valore. " This growth
trajectory is supported not only by major
producers' forecasts, but also by key demand
sectors such as LNG exporters,
data centers consuming electricity from
gas-fired power plants, and chemical demand
for consumer electronics, medical
devices, electric automobiles and other
critical products. "
" NGL consumer projections similarly
project growth, particularly overseas where
new European and Asia Pacific gas and
chemical demand, driven by new industrial
plants and certain geopolitical circumstances,
continue to boost global demand
for U.S. natural gas and liquids exports, "
he adds.
The company is in negotiations for
supply with major and independent producers,
and also is in negotiations with
major global consumers of ethane and
LPG (propane and butane) for anticipated
supplies from its planned Hackberry NGL
export terminal in Cameron Parish, La.,
reports Senior Advisor Jay Gulley.
He says construction at Hackberry would
begin in early to mid-2026 with an expected
in-service date of mid-2028. Export capacity
would be 315,000 barrels a day, which can
be expanded to 450,000 bbl/d.
" We have strong interest from many
parties that view our Hackberry/Calcasieu
Ship Channel supply as a geographically
advantaged and economically competitive
solution for rapidly growing U.S. NGL
exports, " says Gulley. " Many of these
parties, including major global consumers
of ethane and LPG, are currently in longterm
contract negotiations with Moss
Lake Partners. "
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American Oil and Gas Reporter - September 2024

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