Black Bayou Energy Hub Approved for Major Gas Storage Project in Louisiana
Black Bayou Energy Hub LLC has received the green light to build a significant gas storage hub in Louisiana's Cameron and Calcasieu parishes. This project, one of the most interconnected in the Gulf Coast region, aims to provide storage and wheeling services to a broad range of energy consumers and suppliers.
The hub, set to deliver up to 2.0 Bcf of gas per day and inject up to 1.6 Bcf per day, is designed to initially focus on natural gas. However, its salt domes could also accommodate other energy products like crude oil, propane, butane, and hydrogen.
Backed by strong partners such as Mercuria, Charlestown Energy Partners, Cameron Prairie Sporting Club, and Tomac Cove Investment Partners, the project is led by Tad Lalande, CEO of Black Bayou Energy Hub LLC. Lalande highlights the commercial depth and global market understanding of the project's backers.
Spanning four salt domes and related infrastructure, including two 27-mile-long pipelines and a 44,000-horsepower compressor station, the hub is located less than 25 miles from 10 current and planned LNG export facilities. These facilities are projected to process 30 billion cubic feet (Bcf) of gas per day by 2030. Mercuria, a project partner, anticipates the storage hub will help balance gas markets both locally and globally.
With final federal authorization, Black Bayou Gas Storage is set to begin construction, offering a significant storage and wheeling hub in the Gulf Coast region. This project, not expected to significantly impact the ecosystem, is poised to support the growing energy market, with Chevron and Hess Corporation among the involved companies.
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