FERC Approves Enstor’s 33.5 Bcf Mississippi Gas Storage Expansion Project

(P&GJ) — The Federal Energy Regulatory Commission (FERC) has approved Enstor Gas' application to expand its Mississippi Hub natural gas storage facility, the company announced. The certificate also allows Enstor to charge market-based rates for its proposed storage and hub services.

Enstor's Mississippi Hub Storage is a FERC-certified high-deliverability underground facility located at the Bond Salt Cavern in Simpson County, Mississippi. (Image Source: Enstar)

Enstor, through its parent company Emerald Storage Holdings LLC and subsidiary Mississippi Hub, LLC, has reached a final investment decision and notified FERC of its acceptance. The expansion is expected to be in service by 2028.

Located on the Bond Salt Dome in Simpson County, Mississippi, the high-deliverability underground storage facility connects to the Southern Natural Gas Company, Southeast Supply Header, and Transcontinental Gas Pipe Line.

The expansion includes three new storage caverns, each with roughly 10 billion cubic feet (Bcf) of working capacity, and enhancements to existing caverns. The project will add up to 33.5 Bcf of storage and 0.7 million dekatherms per day (MMDth/d) of injection capacity. Upon completion, the facility will offer 56.3 Bcf of working gas capacity—2.5 times its current size—and 1.9 MMDth/d of injection capability. Withdrawal capacity remains unchanged at 2.4 MMDth/d.

“We are pleased to have received FERC’s approval for our Mississippi Hub Expansion Project, and look forward to moving ahead with construction,” said Enstor CEO Paul Bieniawski. “This Expansion Project will not only enhance reliability and flexibility for our customers in the Gulf Coast and Southeast markets, but it will also provide significant additional natural gas storage capacity at a time when it’s needed most.”

The first of the new caverns is already fully subscribed through a long-term agreement with a Kinder Morgan subsidiary for storage on the Southern Natural Gas and Tennessee Gas Pipeline systems.

“Expansion projects underway for the Southeast region, including Evangeline Pass, Mississippi Crossing and the South System Expansion 4 projects, are the direct result of significant natural gas demand expectations for the near future," said Ernesto Ochoa, KMI East Region Chief Commercial Officer. “Additional storage coupled with our extensive network further enhances the services we can provide our customers.”

Enstor expects the project to support local economic development through job creation and increased tax revenues, while minimizing environmental impact by leveraging existing infrastructure. The company also notes the project’s role in bolstering energy reliability, especially as demand for LNG exports and gas-fired power continues to grow.

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