Kinder Morgan receives FERC authorizations for Elba LNG project

Elba LNG will have total capacity of 2.5 million tonnes per year (350,000 Mcf/day of natural gas) of LNG for export


Kinder Morgan terminal

HOUSTON, Texas – Kinder Morgan, Inc. says 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 $2 billion project will be constructed and operated at the existing Elba Island LNG Terminal near Savannah, Georgia, Kinder Morgan said in a press release.

The first of 10 liquefaction units are expected to be placed in service in the Q2 2018, with the remaining nine units coming online before the end of 2018.

The project is supported by a 20-year contract with Shell, according to Kinder Morgan.

KMI also announced today 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 thee projects total $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 Q4 2016.

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.

The liquefaction project is expected to have a total capacity of approximately 2.5 million tonnes per year of LNG for export, equivalent to approximately 350,000 Mcf per day of natural gas.

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