The developer of a 2 Bcf/d interstate pipeline project to transport "liquids-rich" Permian natural gas to the Louisiana Gulf Coast has requested to initiate the prefiling review process with the US Federal Energy Regulatory Commission and is targeting a 2028 in-service date.
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Register NowDeLa Express is an affiliate of private energy infrastructure firm Moss Lake Partners. The 42-inch, 690-mile pipeline would begin in the Delaware Basin at Loving County, Texas, and supply "markets on the US Gulf Coast from Port Arthur, Texas, to Cameron Parish, Louisiana, including growing demand from liquified natural gas export facilities as well as Moss Lake's affiliated natural gas liquids export project, Hackberry NGL," it said April 2 in the prefiling request (PF24-4). It would terminate near Moss Bluff in Calcasieu Parish, Louisiana.
The prefiling process would allow DeLa Express to work with stakeholders to address any environmental issues before filing its FERC certificate application, DeLa Express said. It plans to hold an open season for the pipeline and contract with shippers during the prefiling process.
DeLa Express requested FERC issue a notice approving the use of the prefiling process by April 12. Under its anticipated timeline, it would file its certificate application with FERC in February 2025, receive its FERC certificate in April 2026, begin construction in June 2026 and place the facilities into service in July 2028.
The project will include four lateral supply pipelines in the Permian and a 6.2-mile delivery lateral in Calcasieu Parish. DeLa Express also plans to build eight greenfield compressor stations along the line with 65,000 horsepower each.
Over 95% of the pipeline route is collocated with or parallel to existing utility rights of way, DeLa Express said.
Permian constraints
Natural gas production in the Permian Basin has risen sharply in recent years, often as fast as long-haul pipeline capacity exiting the basin can be built. S&P Global analysts forecast it will reach almost 24 Bcf/d by December 2028.
Various midstream operators have indicated another pipeline out of the Permian could be needed by late 2026 or early 2027, and Kinder Morgan has said a second one would be needed before the end of the decade.
NGLs pipelines being built
Midstream companies have also been rapidly building out gas processing capacity in the liquids-rich Permian in anticipation or rising gas production.
Two NGLs pipelines are under construction in the Permian. Targa Resources aims to place the 400,000 b/d Daytona line in service by the end of the year.
Enterprise Products is targeting a first half of 2025 in-service date for the 600,000 b/d Bahia project and in the meantime has temporarily converted its Seminole crude pipeline to transport NGLs in response to high demand.