latest-news-headlines Market Intelligence /marketintelligence/en/news-insights/latest-news-headlines/cheniere-seeks-permission-to-place-midship-pipeline-in-service-57879009 content esgSubNav
In This List

Cheniere seeks permission to place Midship pipeline in service

Case Study

A Leading Renewable Energy Financing Bank Gains Important Insights on U.S.- based Opportunities

Blog

Exploring the Energy Dynamics of AI Datacenters: A Dual-Edged Sword

Blog

Despite turmoil, project finance remains keen on offshore wind

Case Study

An Energy Company Assesses Datacenter Demand for Renewable Energy


Cheniere seeks permission to place Midship pipeline in service

Cheniere Energy Inc. subsidiary Midship Pipeline Co. LLC is seeking permission from U.S. regulators to place the Midcontinent Supply Header Interstate pipeline into commercial service by April 17 to meet shipper needs.

The project, which began commissioning in February after facing weather and construction delays, is designed to move about 1.4 Bcf/d of gas to Gulf Coast markets from Oklahoma's Anadarko Basin. Cheniere operates LNG export terminals in Louisiana and Texas.

Pipeline construction is complete and restoration of areas affected by the project is proceeding, Midship Pipeline said in a March 31 letter to the Federal Energy Regulatory Commission. About 925 MMcf/d of the pipeline's capacity has been contracted for firm service, according to filings with FERC.

Midship will augment Cheniere's feed gas supplies at its LNG export terminals and provide another outlet for producers in the prolific SCOOP and STACK plays to reach downstream markets. The Houston-based company operates five trains at Sabine Pass and is building a sixth, and it operates two trains at Corpus Christi Liquefaction and is building a third. It has also proposed a midscale liquefaction expansion at the Texas site.

The pipeline has precedent agreements with Devon Energy Corp., Marathon Oil Corp., Gulfport Energy Corp. and Cheniere's Corpus Christi export facility.

The pipeline runs from the Anadarko Basin in Oklahoma to interstate pipeline connections in the state, assisting gas flows to the Gulf Coast and Southeast markets.

Last summer, construction on Midship was delayed by weather and other unexpected complications, postponing the pipeline's interim startup by six months and inflating construction costs. Among other things, heavy rains along portions of the pipeline's route caused problems related to erosion control, topsoil loss, dewatering and stabilization.

Harry Weber is a reporter with S&P Global Platts. S&P Global Market Intelligence and S&P Global Platts are owned by S&P Global Inc.