Cheniere is planning to build a new pipeline to boost LNG exports by connecting its Louisiana expansion project to various shale gas regions. This will help them to meet the growing demand and reduce the risks associated with LNG export.
Jul 21, 2023
Cheniere Energy Inc LNG is planning to construct a new gas pipeline in order to amplify its liquefied natural gas (LNG) exporting capabilities. The new pipeline aims to link its Louisiana expansion project with pipelines in the Haynesville, Marcellus, mid-continent, Permian and Eagle Ford shale-gas regions. This strategy will mitigate risks and satisfy the growing demand for natural gas. Since 2016 Cheniere has been expanding its Sabine Pass facility, it now requires additional natural gas to reach its planned “Stage 5” capacity. Although the cost and the size of the pipeline has not been disclosed yet, the company has already invested USD 800 million on pipeline transit fees to transport natural gas from 26 different pipelines to its LNG plants in Texas and Louisiana. Cheniere’s expansion project is planned to produce up to 20 million MTPA of LNG which will help the company to strengthen its position as a leading player in the LNG market.