
Pipeline Projects Make Beautiful Noise This Week
The week has ushered in several pipeline updates and accomplishments that earn a spotlight outside of that scene-stealing Permian. We have three to share.
Reese Energy Consulting today starts with news from Houston-based Kinder Morgan, which has launched a binding open season for its proposed Southeast Connector project. Details are scarcer than October snowfall in Texas, but the company reports the pipeline would connect KM’s Tennessee Gas Pipeline system with its Southern Natural Gas system and give the Southeast region more access to gas supplies originating north and south for power generation. Breaking dirt on the project is expected in two years with completion in 2029. According to Hart Energy, more than 60% of Kinder Morgan’s project backlog is focused on power and utility demand.
Tulsa-based ONEOK, which recently enjoyed a big moment in September with the closure of its $4.425 billion acquisition of Brazos Midstream’s Permian Midland assets and a $9 billion equity deal with Apollo Investments, has more to crow about this week. The pipeline giant, which operates 60,000 miles of natural gas, NGL, crude oil, and refined products pipe across the U.S., has announced the 230-mile expansion of its existing Refined Products Pipeline System is now in service and kickin’ it. The extension of its system connects Mid-Con and Gulf Coast with jet fuel, gasoline, diesel, and renewable fuels from Kans., to Denver, including the Denver International Airport.
The Administration is also hellbent for leather to get the Alaskan LNG project off the tundra and onto construction mode. The U.S.-South Korea trade deal could help make that happen with Korea’s new investment of $54 billion. The latest estimated cost of the Alaskan LNG project is $44.5 billion to $54.5 billion.