Tellurian today announced that its subsidiary, Haynesville Global Access Pipeline LLC, has launched a non-binding open season to secure prospective shippers for the Haynesville Global Access Pipeline (HGAP), a proposed 42-inch natural gas pipeline connecting the Haynesville and Bossier shale production region to growing natural gas demand in Southwest Louisiana. HGAP is estimated to cost approximately $1.4 billion and will have the capacity to transport up to two billion cubic feet of natural gas per day. Construction is expected to begin in 2022, with an in-service date of mid-2023.
HGAP is part of Tellurian’s previously announced proposed Tellurian Pipeline Network, a project that represents a $7.0 billion investment in U.S. infrastructure and will create approximately 15,000 jobs in Texas and Louisiana. The investment is incremental to the $15.2 billion investment that Tellurian plans for Driftwood LNG, a proposed liquefied natural gas export facility near Lake Charles, Louisiana.
“HGAP will connect the Haynesville Shale with growing markets in Southwest Louisiana, where natural gas demand is expected to triple, reaching approximately 12 billion cubic feet per day by 2025,” Tellurian’s President and CEO Meg Gentle said. “Louisiana continues to serve as the U.S. natural gas market hub, requiring additional infrastructure to efficiently deliver gas from fields in the Northeast U.S., the Midwest, and Texas to local and global markets. HGAP will improve the connection between North and Southwest Louisiana, debottlenecking existing pipeline routes and providing shippers access to expanding markets.”
The proposed pipeline will stretch approximately 200 miles and interconnect with the Midcontinent Express and Gulf Crossing pipelines in Claiborne Parish and to other pipelines located near Gillis in Calcasieu Parish, Louisiana. The pipeline system is anticipated to have multiple receipt and delivery locations, connecting industrial facilities and other third-party pipelines.
The open season commenced at noon central time on Feb. 21, 2018 and will conclude at 4 p.m. central time on April 6, 2018.