The United States Federal Energy Regulatory Commission (FERC) has approved two expansion projects filed by Southern Natural Gas Company after determining the projects would provide “substantial benefits”.
Southern Natural Gas proposed its South System Expansion 3 Project in December 2008. The project will provide 3.6 MMcf/d of natural gas to Georgia Power Company’s Jack McDonough gas-fired electricity generation facility. The project is expected to cost approximately $US352 million.
In the same month, Southern Natural Gas and and Southeast Supply Header (SESH) also filed an application to the FERC for their Joint Pipeline Expansion Phase 2 Project to expand the capacity of their jointly-owned segment of the existing SESH pipeline from 1.4 to 4.9 MMcf/d. The expansion project is estimated to cost $US68 million.
The FERC report said “The Commission finds that the projects will provide substantial benefits, including lowering the estimated fuel rate on Southern’s system, without any adverse impacts on shippers or other pipelines.”