Southeast Supply Header, LLC (SESH), a 50/50 joint venture between Spectra Energy Corp and CenterPoint Energy, Inc., has received Federal Energy Regulatory Commission (FERC) approval and on September 6, 2008, began service on a portion of its pipeline system, from the Perryville Hub in Delhi, La., to Florida Gas Transmission's interconnect at Lucedale, Miss.
The portion of the pipeline placed into service represents 78 percent, or 213 miles, of the 270-mile, 36-inch and 42-inch diameter pipeline. The entire pipeline extends from CenterPoint Energy's Perryville Hub to the Gulfstream Natural Gas System, LLC, pipeline system at Coden, Ala. When the SESH pipeline is in full service, it will transport up to 1 billion cubic feet per day (Bcf/d) of natural gas from the onshore supply basin of northern Louisiana to premium Southeast markets.
"This new, onshore natural gas supply represents an important step toward meeting the energy demands in the Southeast United States, and offers greater supply diversity for a region traditionally and predominantly supplied by offshore natural gas from the Gulf of Mexico," said the two companies in a joint statement. "The timing of this additional supply is vital as weather- related effects to offshore production continue to pose a challenge to getting needed supply to these high-demand markets."
The SESH facilities include three mainline compressor stations and two booster compressor stations. Along its route, the SESH pipeline will interconnect with several major pipelines serving the eastern United States and have access to several storage facilities.
The pipeline is anticipated to be in full service by mid-September 2008, pending all necessary approvals from the FERC. For updated information, visit www.southeastsupplyheader.com
Spectra Energy Corp, a FORTUNE 500 company, is one of North America's premier natural gas infrastructure companies serving three key links in the natural gas value chain: gathering and processing, transmission and storage, and distribution. For nearly a century, Spectra Energy and its predecessor companies have developed critically important pipelines and related infrastructure connecting natural gas supply sources to premium markets. Based in Houston, Texas, the company operates in the United States and Canada approximately 18,000 miles of transmission pipeline, 265 billion cubic feet of storage, natural gas gathering and processing, natural gas liquids operations and local distribution assets. Spectra Energy Corp also has a 50 percent ownership in DCP Midstream, the largest natural gas gatherer and processor in the United States.
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, and interstate pipelines and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma and Texas. Assets total approximately $18 billion. With about 8,600 employees, CenterPoint Energy and its predecessor companies have been in business for more than 130 years.