By OGJ editors
HOUSTON, Sept. 15 -- A unit of Sempra Energy and an affiliate of ProLiance Energy LLC have jointly acquired three existing salt caverns and more than 150 acres of property in Cameron Parish, La., from Dominion Resources Inc., Richmond, Va., and are finalizing construction on another gas storage facility—Liberty Gas Storage LLC in Calcasieu Parish, La.
Pending final development plans and regulatory approval, the Dominion property will be developed into a natural gas storage facility with potential storage capacity of 10-12 bcf of natural gas.
Sempra Pipelines & Storage will hold a 75% stake in the development of the facility and will manage operations. ProLiance Transportation & Storage LLC will own 25%. Further terms of the deal were not disclosed.
Once the newly acquired Liberty Gas Storage LLC property and caverns near Sulphur, La., are developed, they would become an extension of Liberty Gas Storage, and a large number of new caverns could be added, Liparidis said.
Both the newly acquired property and Liberty Gas Storage are near numerous pipelines in the Gulf region, including the Cameron and Port Arthur Pipelines under development by Sempra. The pipelines connect area LNG regasification terminals to the interstate gas transmission system.
The Liberty Gas Storage project will provide firm storage and related services to customers transporting gas on interstate pipelines in the region. The facility will provide 17 bcf of working gas capacity for storage and is expected to be in service by yearend. The project also will include surface facilities to allow for a maximum injection of 500 MMcfd and maximum withdrawals of 1 bcfd.