Eyeing CO2, Trailblazer seeks to move 392-mile gas pipe from FERC's purview

Trailblazer Pipeline has proposed to remove 392 miles of natural gas pipeline, slated for conversion to CO2 transportation, from Federal Energy Regulatory Commission jurisdiction, and plans to lease capacity from Rockies Express Pipeline to replicate the existing gas transportation service for shippers.

Trailblazer and REX, both units of Tallgrass Energy, filed the application for certificate and abandonment with FERC on May 27, stating the proposal would result in more efficient use of existing facilities and minimize construction of new pipelines to serve CO2 transportation needs (CP22-468).

Trailblazer is seeking to repurpose the abandoned pipeline for CO2 shipment from possible sources in Nebraska, Kansas, and Colorado to a sequestration site in Wyoming or Nebraska, the companies told FERC. They sought authorization in the second quarter of 2023, in line with what they termed a market desire for the project in the first quarter of 2024.

Tallgrass CO2 forays

Tallgrass in January announced that it received a grant from the Wyoming Energy Authority to fund development of a commercial-scale CO2 sequestration hub in the Denver-Julesburg Basin in eastern Wyoming, slated for service in 2024. In May, it unveiled a sequestration agreement in which Tallgrass would capture CO2 from ADM's corn-processing complex in Nebraska and ship it to the Wyoming hub for underground storage.

Under the application at FERC, new REX facilities would allow for continuity of gas flows for Trailblazer firm service through leased capacity from REX. Those new REX facilities include two new laterals totaling about 41 miles of pipe, eight pipeline taps each, and five new booster compressor stations totaling about 7,800 hp.

The companies also asked FERC to approve the lease arrangement, which involves 902,000 Dt/d of existing capacity from the REX/Trailblazer Lone Tree receipt point to the East Cheyenne Gas Storage point and 827,000 Dt/d of existing capacity from East Cheyenne Gas Storage point to the Trailblazer East Saline delivery point.

The 15-year lease would give Trailblazer access to the same receipt and delivery points it serves now, and REX would maintain control over its system, including the leased capacity, according to the application.

GHGs

The companies told FERC there would be no incremental greenhouse gas emissions associated with supply or consumption stemming from the project as both Trailblazer and REX will move the same amount of gas as currently being transported. In addition, currently unused transportation capacity will be removed from the market, they said, resulting in less potential GHG emissions from consumption.

"The project results in the removal from service – the abandonment – of approximately 902,000 Dt/d of natural gas transportation capacity and 20,000 hp of gas-fired compression facilities, with the addition of less than 8,000 hp of gas-fired compression facilities," they said.

Trailblazer extends 436 miles from northeast Colorado to Gage County, Nebraska.

WBI expansion

Separately, WBI Energy applied at FERC for permission to build and operate a new 60.5-mile, 20,600 Dt/d gas pipeline to provide incremental firm service in North Dakota to serve growing demand in the southeastern part of the state (CP22-466).

The Wahpeton Expansion project would extend from WBI Energy's existing Mapleton Compressor Station near Mapleton, North Dakota, to a proposed delivery station in Wahpeton, North Dakota. A new delivery station is also proposed near Kindred.

The project is supported by a contract with WBI's affiliate, Montana-Dakota Utilities, to enable firm service to the community of Wahpeton and to initiate service to the community of Kindred, according to the application.

WBI is seeking FERC's authorization by July 1, 2023 in order to meet a Nov. 1, 2024, in-service date.