Natural Gas Pipeline Company of America and Cheniere Agree on Natural Gas Transportation to Corpus Christi Liquefaction Project
Natural Gas Pipeline Company of America LLC (NGPL) today announced an
agreement with Corpus Christi Liquefaction, LLC, a subsidiary of
Cheniere Energy, Inc., to provide the Corpus Christi Liquefaction
Project with 385,000 dekatherms per day of southbound natural gas
transportation capacity on NGPL’s expanded Gulf Coast mainline system
for a 20-year term. NGPL expects to invest approximately $212 million in
facilities to enable it to complete the first phase of its Gulf Coast
Market Expansion Project, which will increase NGPL’s total southbound
capacity from multiple receipt points, including the Rockies Express
Pipeline (REX) interconnection at Moultrie, Illinois, to existing and
growing markets along Texas and the Louisiana Gulf Coast.
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“We are pleased to move forward with this project as gas production
increases in the Utica and Marcellus shale and markets continue to grow
along the Gulf Coast,” said NGPL President David Devine. “Additionally,
we are delighted to provide transportation for Cheniere to bring
attractively-priced supply to their LNG export facility being developed
near Corpus Christi, Texas.”
“Once again, we have the pleasure of working with Kinder Morgan and NGPL
to secure transportation capacity that will provide additional certainty
of gas supply for the Corpus Christi Liquefaction Project, which is now
under construction,” said Corey Grindal, Vice President of Supply and
Marketing for Cheniere. “It’s important that we secure access to
pipeline capacity to ensure reliability and deliverability of natural
gas to our liquefaction facility.”
The Gulf Coast Market Expansion project will include the reversal of
four compressor stations in Victoria, Wharton, Montgomery and Angelina
counties, Texas, the addition of a new compressor station in Cass
County, Texas, and minor pipe replacement and upgrades along the NGPL
system in Texas. Pending regulatory approvals, the project is expected
to be placed fully into service by July 2019.
About NGPL
NGPL is one of the largest interstate pipeline systems in the country
with approximately 9,200 miles of pipeline, more than 1 million
horsepower of compressor facilities and 288 billion cubic feet of
working gas storage. Kinder Morgan, Inc. operates NGPL and owns a 20
percent interest in the pipeline company. Myria Holdings Inc. owns the
remaining interest.
About Cheniere Energy, Inc.
Cheniere Energy, Inc. is a Houston-based energy company primarily
engaged in LNG-related businesses and currently has two liquefaction
projects under construction - Sabine Pass Liquefaction located in
Louisiana and Corpus Christi Liquefaction located in Texas.
Cheniere Energy Cautionary Language:
This press release contains certain statements that may include
“forward-looking statements” within the meanings of Section 27A of the
Securities Act of 1933 and Section 21E of the Securities Exchange Act of
1934. All statements, other than statements of historical fact, included
herein are “forward-looking statements.” Included among “forward-looking
statements” are, among other things, (i) statements regarding Cheniere’s
business strategy, plans and objectives, including the development,
construction and operation of the liquefaction facilities, (ii)
statements regarding expectations regarding regulatory authorization and
approvals, (iii) statements expressing beliefs and expectations
regarding the development of Cheniere’s LNG terminal and pipeline
businesses, including liquefaction facilities, (iv) statements regarding
the business operations and prospects of third parties, (v) statements
regarding potential financing arrangements, and (vi) statements
regarding future discussions and entry into contracts. Although Cheniere
believes that the expectations reflected in these forward-looking
statements are reasonable, they do involve assumptions, risks and
uncertainties, and these expectations may prove to be incorrect.
Cheniere’s actual results could differ materially from those anticipated
in these forward-looking statements as a result of a variety of factors,
including those discussed in Cheniere’s periodic reports that are filed
with and available from the Securities and Exchange Commission. You
should not place undue reliance on these forward-looking statements,
which speak only as of the date of this press release. Other than as
required under the securities laws, Cheniere does not assume a duty to
update these forward-looking statements.
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