Kinder Morgan’s TGP Greenlights the 205-Mile MSX Project

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Kinder Morgan’s TGP Greenlights the 205-Mile MSX Project

Kinder Morgan, Inc. company Tennessee Gas Pipeline, L.L.C. (TGP) has decided to proceed with its Mississippi Crossing Project (MSX Project). In a media release, Kinder Morgan said the project has been given the go-ahead after securing long-term, binding transportation agreements with customers for all the capacity. “This transformative project will benefit the Southeast region as […]

“This transformative project will benefit the Southeast region as it will provide incremental access to diverse sources of supply”, Sital Mody, Natural Gas Pipelines President, said. “The additional supply will help satisfy growing energy demand and lower energy costs, allowing power generators and other energy suppliers in the region to attract new residential, commercial, and industrial opportunities. We are in final discussions with customers for up to an additional 0.4 billion cubic feet per day (Bcf/d) of long-term commitments, which would require additional capital for incremental horsepower”.

The MSX Project, with a $1.4 billion price tag, is designed to transport up to 1.5 Bcf/d of natural gas and primarily involves the construction of nearly 206 miles of 42-inch and 36-inch pipeline and two new compressor stations.

Kinder Morgan said the project will originate near Greenville, Mississippi, and conclude near Butler, Alabama. It will connect to the existing TGP system and third-party pipelines to provide critical supply access sourced from multiple supply basins, it said. Pending the receipt of all required permits and clearances, the project is expected to be placed in service in November 2028, the company said.

“The fundamentals in the natural gas market are robust, with significant growth expected over the next five years from LNG exports, exports to Mexico, and power generation”, Kim Dang, Kinder Morgan CEO said. “With today’s announcement, KMI has sanctioned approximately $3.1 billion (KMI share) in expansion capital between the SNG South System 4 Expansion and TGP’s Mississippi Crossing Project. We expect to announce additional projects in the coming months”.

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