EnLink Expanding Louisiana Natural Gas Storage as Gulf Coast Export Capacity Climbs - Natural Gas Intelligence
EnLink Expanding Louisiana Natural Gas Storage as Gulf Coast Export Capacity Climbs
Dallas-based EnLink Midstream LLC has sanctioned its first brownfield natural gas expansion project in Louisiana as it works to add 8 Bcf of capacity to the Jefferson Island Storage & Hub.
JISH, as it is known, “received strong commercial interest and is backed by investment-grade credit customers under long-term contracts,” CEO Jesse Arenivas said during the quarterly conference call last week.
First injections at JISH, estimated to cost $85 million, are expected in 2028. The expansion would increase working gas storage to 10 Bcf from 2 Bcf.
Related Knowledge Center: Liquefied natural gas
Driven by plentiful natural gas produced from shale plays, the United States began exporting liquefied natural gas in 2016 when the Sabine Pass terminal in Louisiana opened and shipped its first cargo. Since then, additional capacity, or trains, have been added to Sabine Pass, and terminals have become operational in Cameron Parish, La.; Hackberry, La.; Cove Point, Md.; and Corpus Christi, Texas. The Energy Information Administration projects that U.S. LNG export capacity will reach 8.9 billion cubic feet per day (Bcf/d) by the end of 2019, making it the third largest in the world, behind Australia and Qatar. The tariff war with China has the potential to impact some final investment decisions for additional terminals in the coming months.