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Released May 24, 2018 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--UniversalPegasus International (UPI) (Houston, Texas), a subsidiary of Huntington Ingalls Industries (NYSE:HII) (Newport News, Virginia), is playing a pivotal role in several North American projects to export oil and gas products. These range from Permian- and Eagle Ford-based natural gas liquid (NGL) pipelines to floating LNG projects in the Gulf of Mexico. Industrial Info is tracking nearly $13 billion in active projects involving UPI, nearly $6 billion of which is attributed to projects currently set to begin construction before the end of the year.
Click on the image at right for a graph detailing UPI's active projects, by U.S. state and Canadian province.
UPI is preparing to begin work early next year on Permico Energia LLC's (Houston) $750 million Permian-to-Corpus Christi pipeline, which would carry 330,000 barrels per day (BBL/d) of Y-grade NGL from various parts of the Permian Basin and Eagle Ford Shale to Permico's planned El Centro NGL Fractionator in Corpus Christi, Texas, for refining and export. Permico officials have indicated that operations could begin in late 2020. For more information, see Industrial Info's project report.
Two other pipelines would branch off from the El Centro facility: a $350 million pipeline to storage facilities in Markham, Texas, which would comprise two lines, each running 116 miles, and a $350 million pipeline to Mont Belvieu, Texas, a single line running 230 miles. Each would carry 175,000 BBL/d. For more information, see Industrial Info's reports on the Markham and Mont Belvieu pipelines.
Another project expected to begin soon is SeaOne Holdings LLC's (Houston, Texas) four-phase compressed gas liquids (CGL) storage and export facility in Gulfport, Mississippi, for which UPI is performing design-engineering services. Each phase involves building a 400 million-standard-cubic-foot-per-day containment piping system with a capacity of 25,000 metric tons per day of CGL. A berthing facility will receive CGL from an offtake pipeline connected to BP plc's (NYSE:BP) (London, England) gas-processing plant in Pascagoula, Mississippi.
Bruce Hall, the chief operating officer of SeaOne, told Mississippi's WXXV that construction on the first phase will begin after the company and its contractors complete site preparation at the port's Terminal 4, which will house all four phases. Hall says the finished complex will boost cleaner, more cost-effective exports to the Caribbean and Central and South America. For more information, see Industrial Info's project reports on Phase I, Phase II, Phase III and Phase IV.
Trans Mountain, Delfin LNG Hinge on Government Policy
UPI is performing design-engineering services for Kinder Morgan Incorporated's (NYSE:KMI) (KMI) (Houston) Trans Mountain Pipeline Expansion, which was approved by Canada's federal government in 2016 and would triple the amount of oil flowing from Alberta to tankers on British Columbia's coast. Alberta's lawmakers say the project is critical to reducing multimillion-dollar discounts on its product due mainly to pipeline bottlenecks, according to Canada's Global News. For more information, see Industrial Info's project reports on Trans Mountain's estimated $1.5 billion Alberta and $3.5 billion British Columbia segments.
Canadian Prime Minister Justin Trudeau supports Trans Mountain, but the British Columbia provincial government has been fiercely opposed. Last month, Kinder Morgan suspended most activity on Trans Mountain and set a May 31 deadline for assurances from the Alberta and British Columbia governments on the financial viability of the project--as well as assurances that there would be no more major delays. The province of Alberta and Trudeau's government remain in discussions with Kinder Morgan to strike a joint financial arrangement to ensure the project gets built, according to National Post, but if no deal is reached by May 31, "it's hard to conceive of a scenario under which we can proceed," Kinder Morgan's Chief Executive Officer Steven Kean recently told reporters.
UPI also is an engineering consultant on the first two phases of Hoegh LNG's (Oslo, Norway) Delfin LNG floating LNG project in the Gulf of Mexico, which is scheduled to be built in four phases. Each involves building a vessel that would process 450 million standard cubic feet per day of natural gas into 2 million tons per year of LNG. The product would be exported to countries both within and outside U.S. free trade agreements (FTA). For more information, see Industrial Info's project reports on Phase I and Phase II.
Much of Delfin LNG's future hinges on the trade relationship between the U.S. and China, as China Gas Holdings Limited has agreed to purchase 3 million tons of LNG a year from the proposed facility. After months of hostility between the two countries amid fears of a "trade war," Delfin LNG's backers felt reassured following recent signs of de-escalation. Beijing pledged earlier this week to import more U.S. goods in exchange for reduced tariffs--but no names have been signed to anything, and few specifics offered.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
Click on the image at right for a graph detailing UPI's active projects, by U.S. state and Canadian province.UPI is preparing to begin work early next year on Permico Energia LLC's (Houston) $750 million Permian-to-Corpus Christi pipeline, which would carry 330,000 barrels per day (BBL/d) of Y-grade NGL from various parts of the Permian Basin and Eagle Ford Shale to Permico's planned El Centro NGL Fractionator in Corpus Christi, Texas, for refining and export. Permico officials have indicated that operations could begin in late 2020. For more information, see Industrial Info's project report.
Two other pipelines would branch off from the El Centro facility: a $350 million pipeline to storage facilities in Markham, Texas, which would comprise two lines, each running 116 miles, and a $350 million pipeline to Mont Belvieu, Texas, a single line running 230 miles. Each would carry 175,000 BBL/d. For more information, see Industrial Info's reports on the Markham and Mont Belvieu pipelines.
Another project expected to begin soon is SeaOne Holdings LLC's (Houston, Texas) four-phase compressed gas liquids (CGL) storage and export facility in Gulfport, Mississippi, for which UPI is performing design-engineering services. Each phase involves building a 400 million-standard-cubic-foot-per-day containment piping system with a capacity of 25,000 metric tons per day of CGL. A berthing facility will receive CGL from an offtake pipeline connected to BP plc's (NYSE:BP) (London, England) gas-processing plant in Pascagoula, Mississippi.
Bruce Hall, the chief operating officer of SeaOne, told Mississippi's WXXV that construction on the first phase will begin after the company and its contractors complete site preparation at the port's Terminal 4, which will house all four phases. Hall says the finished complex will boost cleaner, more cost-effective exports to the Caribbean and Central and South America. For more information, see Industrial Info's project reports on Phase I, Phase II, Phase III and Phase IV.
Trans Mountain, Delfin LNG Hinge on Government Policy
UPI is performing design-engineering services for Kinder Morgan Incorporated's (NYSE:KMI) (KMI) (Houston) Trans Mountain Pipeline Expansion, which was approved by Canada's federal government in 2016 and would triple the amount of oil flowing from Alberta to tankers on British Columbia's coast. Alberta's lawmakers say the project is critical to reducing multimillion-dollar discounts on its product due mainly to pipeline bottlenecks, according to Canada's Global News. For more information, see Industrial Info's project reports on Trans Mountain's estimated $1.5 billion Alberta and $3.5 billion British Columbia segments.
Canadian Prime Minister Justin Trudeau supports Trans Mountain, but the British Columbia provincial government has been fiercely opposed. Last month, Kinder Morgan suspended most activity on Trans Mountain and set a May 31 deadline for assurances from the Alberta and British Columbia governments on the financial viability of the project--as well as assurances that there would be no more major delays. The province of Alberta and Trudeau's government remain in discussions with Kinder Morgan to strike a joint financial arrangement to ensure the project gets built, according to National Post, but if no deal is reached by May 31, "it's hard to conceive of a scenario under which we can proceed," Kinder Morgan's Chief Executive Officer Steven Kean recently told reporters.
UPI also is an engineering consultant on the first two phases of Hoegh LNG's (Oslo, Norway) Delfin LNG floating LNG project in the Gulf of Mexico, which is scheduled to be built in four phases. Each involves building a vessel that would process 450 million standard cubic feet per day of natural gas into 2 million tons per year of LNG. The product would be exported to countries both within and outside U.S. free trade agreements (FTA). For more information, see Industrial Info's project reports on Phase I and Phase II.
Much of Delfin LNG's future hinges on the trade relationship between the U.S. and China, as China Gas Holdings Limited has agreed to purchase 3 million tons of LNG a year from the proposed facility. After months of hostility between the two countries amid fears of a "trade war," Delfin LNG's backers felt reassured following recent signs of de-escalation. Beijing pledged earlier this week to import more U.S. goods in exchange for reduced tariffs--but no names have been signed to anything, and few specifics offered.
Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn. For more information on our coverage, send inquiries to info@industrialinfo.com or visit us online at http://www.industrialinfo.com/.
