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    Tellurian plans new electric-drive pipeline

Summary

New twin pipeline, expected to cost $1.5bn, will alleviate transportation constraints around Lake Charles, Louisiana.

by: Dale Lunan

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Tellurian plans new electric-drive pipeline

US natural gas company Tellurian said June 22 its Driftwood Pipeline unit had filed an application with the Federal Energy Regulatory Commission (FERC) to build and operate Line 200 and 300, a dual interstate pipeline that will employ electric-driven compression.

The two lines will originate in Beauregard Parish, north of Lake Charles, where they will connect with existing interstate pipelines, and end in Calcasieu Parish, south of Lake Charles. The route, Driftwood said, was designed to bypass what has become a “constrained, complex and expensive” gas transportation corridor in the Lake Charles area.

By using electric-drive compressors, which will be supplied by Baker Hughes, Driftwood expects the pipeline’s CO2 emissions will be reduced by more than 99%, and combined with other steps Tellurian is taking, will lead to overall direct emission reductions totalling nearly 1mn mt/yr.

“This new and completed pipeline design provides definitive and measurable results for emissions reduction and is another step in Tellurian’s overall strategy to support and balance the world’s energy needs and environmental concerns,” Tellurian CEO Octavio Simoes said. 

Pending regulatory approval, Line 200 and 300 will be built in two phases and commissioned in three phases, Tellurian said.

Line 200 will be built first, incorporating 36.9 miles (59.4 km) of pipe and three electric-drive compression units at a new Indian Bayou compressor station. It will take 12 months to build, and will provide nominal capacity of 2.4bn ft3/day.

Construction of Line 300 will start following the completion of Line 200, based on market condition and after consultation with shippers. It will consist of 49.6 km of pipe, one additional compression unit at Indian Bayou, and will take about 18 months to build, adding 2.2bn ft3/day of nominal capacity.

The project will be placed into service in three phases, according to FERC’s application. Line 200 and the first three units at Indian Bayou will be available for service in 2024; the fourth compressor unit at Indian Bayou will be available for service in H1 2026; and Line 300 will be available for service in Q4 2026 or Q1 2027.

Once all the facilities are operational, nominal capacity of the system will be about 4.6bn ft3/day, while peak seasonal capacity will be 5.3bn ft3/day. Total cost is estimated at about $1.5bn.