Kinder Morgan, Inc. (KMI) has announced that subsidiaries Elba Liquefaction Company, L.L.C. (ELC) and Southern LNG Company, L.L.C. (SLNG), have received authorization from the Federal Energy Regulatory Commission (FERC) for the Elba Liquefaction Project.
The approximate US$2 billion project will be constructed and operated at the existing Elba Island LNG Terminal near Savannah, Georgia.
The project is proposed to be constructed in two phases:
The project will use Shell’s innovative small-scale liquefaction units, which will be integrated into the existing Elba Terminal and enable rapid construction compared to traditional large-scale plants.
In 2012, the Elba Liquefaction Project received authorization from the Department of Energy to export to Free Trade Agreement (FTA) countries. An application to export to non-FTA countries is pending, but is not required for the project to move ahead.
KMI also announced that Elba Express Company L.L.C. (EEC) and Southern Natural Gas Company, L.L.C. (SNG) have received from FERC Certificates of Public Convenience and Necessity for the EEC Modification Project and SNG Zone 3 Expansion Project, respectively. Together these projects total US$306 million and include additional compression and related work for north-to-south capacity expansions on Elba Express Pipeline that will supply additional gas to industrials and utilities in Georgia and Florida and to Elba Island for liquefaction. Facilities for these pipeline projects are expected to be placed in service late in the fourth quarter of 2016.
Kinder Morgan owns an interest in or operates approximately 84,000 miles of pipelines and approximately 180 terminals. The company’s pipelines transport natural gas, gasoline, crude oil, CO2 and other products, and its terminals store petroleum products and chemicals, and handle bulk materials like coal and petroleum coke.