Natural gas pipeline capacity to South Central region, export markets increase in 2018: EIA

The U.S. Energy Information Administration (EIA) said recently that it expects natural gas pipeline capacity into the South Central region of the United States to reach approximately 19 billion cubic feet per day (Bcf/d) by the end of 2018.

The region has changed from being a source of natural gas supply to a source of growing demand.

Natural gas pipeline projects scheduled to enter operation in 2018 will bring further supply to the Gulf Coast and support growing export markets. Of the 6.4 Bcf/d of Northeast capacity expected to come online in 2018, more than 2.8 Bcf/d reaches the South Central region directly through three projects, Rayne Xpress, Gulf Xpress and Atlantic Sunrise, which transport natural gas through the Midwest and Southeast.

The liquified natural gas (LNG) export facilities planned to come online in 2018 and 2019 represent an additional 6.1 Bcf/d of LNG export capacity. The United States currently has two operational LNG export facilities that have a combined export capacity of 3.5 Bcf/d. The three LNG export facilities under construction in the South Central region have associated pipeline projects which are planned for completion this year.

EIA also anticipates that exports of natural gas to Mexico by pipeline will increase in 2018 as several projects within Texas, including the 2.6 Bcf/d Valley Crossing Pipeline, are completed.

EIA is currently tracking the development of more than 160 proposed natural gas pipeline projects, 37 of which have been recently completed or are under construction and scheduled to enter service by the end of 2018.