en.Wedoany.com Reported - Caliche Development Partners has approved the first phase of the Spindletop expansion project in Beaumont, Texas, advancing the construction of natural gas storage capacity along the Gulf Coast. The project has previously received federal approval.
The final investment decision includes the construction of two new salt cavern storage facilities, associated surface infrastructure, and interconnection pipelines with Kinder Morgan's Trident pipeline and ARM Energy's Mustang pipeline.
The decision was made after the Federal Energy Regulatory Commission (FERC) approved the project. Subscriptions during the most recent open season were nearly six times the available supply, indicating strong demand for additional storage capacity in the region.
The expansion is related to the third and fourth storage caverns of Golden Triangle Storage, which are expected to be operational in 2027. Operations for the newly approved phase of the expansion are expected to begin in late 2028 and continue into early 2029.
Upon full completion, the Golden Triangle Storage complex will include eight storage caverns with a working gas capacity exceeding 60 billion cubic feet. The facility will be capable of injecting up to 2.2 billion cubic feet per day and withdrawing up to 2.5 billion cubic feet per day, making it one of the largest natural gas storage hubs on the Gulf Coast.
Sam Wallace, Chief Commercial Officer of Caliche, stated in a press release that strong customer interest is expected to support full subscription for the expanded capacity and future development phases. Caliche noted that growing liquefied natural gas exports, rising electricity demand, electrification trends, and data center energy needs are driving increased demand for natural gas storage infrastructure across the Gulf Coast.
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