Gulf South Pipeline Company is Building a New Underground Natural Gas Storage Facility on the Gulf Coast

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). Gulf South Pipeline Company, LP has begun construction on its Magnolia Gas Storage Project near Napoleonville, in Assumption Parrish Louisiana, about 50 miles west of New Orleans. Gulf South is presently conducting civil and site preparation for the well pad and the Rodrique Compressor Station site and expects to begin the main construction in June of 2003.

The new salt dome storage facility will have an injection and withdraw rate of 200 mmscfd and 400 mmscfd respectively and working gas capacity of 4.1 Bcf with a further 3.9 Bcf of cushion gas when completed in October of 2003. The new 9,500 horsepower compressor station will utilize Caterpillar 3616 internal combustion engines as the prime mover for the Hanover Compressors.

In mid August, Gulf South will begin construction on 6-8 miles of pipeline with pipeline diameter varying from 36" to 12" to interconnect with various pipeline systems in the area.

Gulf South awarded Mustang Engineering Incorporated, LP (Houston Texas) the E+P+C contract for the first phase of this storage facility.

Gulf South envisions expanding the site to 6.5 Bcf of storage capacity by early 2008. When completed Magnolia Gas Storage will provide over 140 interconnections with both the major markets and gulf coast supply offering companies like Florida Gas Transmission, Southern Natural Gas, Trunkline Gas and other systems in the area short haul storage access.

Gulf South Pipeline Company is a wholly owned subsidiary of Entergy-Koch, LP (Houston Texas) and owns & operates over 8,800 miles of pipeline from Southern Texas to western Florida supported by 33 compressor stations and 68.5 Bcf of gas storage at its existing Jackson & Bistineau storage facilities. Entergy-Koch, LP is a 50-50 joint venture between subsidiaries of Entergy Corporation and Koch Industries, Incorporated whose main business is the delivery, marketing and trading of natural gas, power and weather derivatives.