By OGJ editors
HOUSTON, Nov. 7 -- Chevron Global Gas has signed a binding agreement with Kinder Morgan Energy Partners LP to ship natural gas via a 3.2 bcfd pipeline system that will be connected to the Sabine Pass LNG terminal in Cameron Parish, La.
The agreement allows Chevron as much as 1 bcfd capacity in a newbuild pipeline and 0.6 bcfd interconnect capacity to the existing pipeline operated by Natural Gas Pipeline Co. of America, a Kinder Morgan subsidiary, adjacent to the Sabine Pass LNG terminal site.
The combined capacity will provide take-away options for Chevron's capacity at the Sabine Pass LNG terminal. The new pipeline system will provide access to Chevron's Sabine and Bridgeline pipelines, which connect to Henry Hub.
Subject to regulatory approvals, the proposed 137-mile pipeline, scheduled to be in service in 2009, would extend to Evangeline Parish, La., and connect with 11 interstate pipelines that serve the eastern US.
