Gulf South Pipeline Co invites firm commitments for Texas Gateway Project

Oct 30 (Reuters) - Gulf South Pipeline Company LLC, a subsidiary of Boardwalk Pipelines LP, announced on Thursday a binding open season for the Texas Gateway Project, inviting firm commitments to reserve capacity at its planned new network.

The Texas Gateway Project aims to connect Gulf South's existing network with new pipeline infrastructure, and will gather natural gas from the Katy and Carthage hubs in Texas, Boardwalk said in a press release.

The gas will be delivered to Southwest Louisiana near Gillis, where demand is rising, according to the release.

It said the project will increase liquidity, supply security and flow assurance for LNG exporters, electric utilities, industrials and natural gas producers.

"This project would enable low-cost natural gas supply access to global LNG markets while also fueling industrial and power demand in the Gulf Coast region," said Scott Hallam, president and CEO of Boardwalk Pipelines.

Gulf South has secured a deal with a long-term user under terms that will allow it to advance the project, and will use this open season to determine additional interest, according to the release.

The project will add at least 1.45 billion cubic feet per day (1.450 million Dth/d) of capacity to Southwest Louisiana, it added.

It includes a new 155-mile pipeline and upgrades to the existing Index 129 pipeline in southeast Texas. The new line will start at the Carthage Header and extend to Beauregard Parish, Louisiana.

It will include new compression and metering facilities, the release said, adding that the target start date is November 1, 2029.