Tennessee Gas Pipeline puts new gasline to Mexico into service

Tennessee Gas Pipeline Co., a subsidiary of El Paso Corp., placed its South Texas Expansion Project into service on Aug. 1. The new 9.3 mile, 30-inch-diameter gas pipeline extends from Tennessee’s existing South Texas system in Hidalgo County, Texas, to the U.S./Mexico border, where it hooks up with the Gasoducto del Rio, a new gas pipeline in northern Mexico.

The company said the South Texas Expansion Project is designed to ultimately deliver an incremental 320,000 dekatherms per day to Mexico’s Rio Bravo power generation complex. Tennessee also construcvted and brought on-line a new compressor station near Edinburg, Texas.

Tennessee said it has begun construction of a seven-mile, 24-inch diameter pipeline loop along its Donna Line that is expected to be in service in the fourth quarter of this year.

The completion of the new lateral and compressor station will enable Tennessee to deliver its customers’ initial requirements of 225,000 Dth/d, and completion of the loop line will increase deliverability to the full pipeline capacity of 320,000 Dth/d.

Tennessee said the project is fully subscribed with firm contracts for 15-year initial terms.

“Tennessee is excited to offer our customers access to Mexico’s growing natural gas market and to provide our customers in Mexico with access to Tennessee’s superior supply position,” Stephen C. Beasley, president of Tennessee Gas Pipeline, said in a statement. “This expansion is the latest in a series of infrastructure enhancements allowing expanded service to the rapidly growing Mexican market.”