FERC Project Approvals and Updates – Nov. 21, 2024

The U.S. Federal Energy Regulatory Commission (FERC) announced significant developments on November 21, 2024, approving multiple energy infrastructure projects designed to enhance natural gas transportation, storage, and processing capacity across key regions. These approvals highlight the agency’s commitment to supporting the growing demand for energy, particularly in the Texas, Louisiana, and Pennsylvania markets, while addressing legal challenges to previous project certificates. Key projects include Kinder Morgan’s Texas-Louisiana Project, Rover Pipeline’s new delivery station, and Sempra Infrastructure’s Hackberry Gas Storage Project. As FERC navigates a period of leadership transition and increased scrutiny of its environmental evaluations, these decisions reinforce its role in advancing critical energy infrastructure.

Texas-Louisiana Project (Kinder Morgan’s NGPL)

  • Capacity & Purpose: Expands firm transportation service by 467,000 dekatherms/day (Dth/d).
    • Combines existing system capacity and 300,000 Dth/d new firm transportation on the Louisiana Line.
    • Addresses rising demand in the Texas and Louisiana Gulf Coast regions.
  • Scope:
    • New 18,340-hp compressor unit.
    • Upgrades at two existing compressor stations (1,600-hp each).
    • Re-wheeling of four existing compressors.
  • Investment: $72 million.
  • Completion Target: July 1, 2026.
  • Gas Supply Sources: Haynesville, Permian Basin, and Eagle Ford shale plays.
  • Destination: Supports growing LNG markets.

Rover Pipeline LLC – Rover-Bulger Delivery Meter Station

  • Capacity: 400,000 Dth/d to ETC Northeast Pipeline LLC’s processing plant.
  • Cost: $4.1 million.
  • Location: Bulger Compressor Station, Washington County, PA.
  • Environmental Review: No major impact on the human environment (Environmental Assessment, June 2024).
  • Functionality: Processes and re-injects gas into Rover’s pipeline system.

Sempra Infrastructure – Hackberry Gas Storage Project

  • Location: Cameron Parish, LA.
  • Storage Capacity: 25.5 billion cubic feet (bcf) of natural gas across four caverns.
  • Pipeline Connections:
    • Cameron Interstate Pipeline (5 miles).
    • Port Arthur Pipeline Louisiana Connector (11 miles).
  • Approval History: FERC certificate granted in September 2022.

Challenges to FERC Certificates

  • Court Rejections:
    • Transcontinental Gas Pipeline Co.: $1 billion Regional Energy Access project overturned.
    • Commonwealth LNG Plant: Cameron Parish, LA, approval sent back for reevaluation.
    • NextDecade Rio Grande LNG & Glenfarne Texas LNG: Environmental analyses to be redone.
  • FERC Chairman Response: FERC stands by its orders and will address mandates efficiently.

Leadership Transition

  • Chairman Willie Phillips: Likely final meeting in January 2025.
  • Incoming Administration: Expected to appoint a Republican chairman.

Oil & Gas Contact Lists