Friday, September 17, 2010

LNG Terminal Off Alabama Coast Approved

On Wednesday, the state of Alabama approved construction of a closed-loop LNG terminal, called the Bienville Offshore Energy Terminal, 63 miles south of Dauphin Island that will cost hundreds of millions of dollars to build.

Huh?  What am I missing?

Why build an LNG terminal to import foreign gas when it would be a HELL of a lot cheaper to build a pipeline from north Louisiana?  The gas is here in great abundance.  In fact, the proposed LaCrosse pipeline would have brought gas from the Haynesville Shale to southeast Louisiana with hopes of taking it east along the Gulf Coast.

The open season for that pipeline was unsuccessful for lack of interest, and I'm not sure if the project is going forward.  Wouldn't it be a lot easier to bring the gas from the Haynesville Shale (Enbridge already wants to build the pipeline!) to Alabama?

What gives?


Anonymous said...

Boy, have you been busy the last couple of days. Keep it up! Your analyses are insightful and on point.

Robert Hutchinson said...

Off my meds for a few days. Can't stop typing...