Kinder Morgan commits $1.4bn to Mississippi Crossing Project

Kinder Morgan subsidiary Tennessee Gas Pipeline (TGP) has announced a final investment decision (FID) for the highly anticipated Mississippi Crossing Project, a $1.4 billion natural gas pipeline initiative designed to address the growing energy demand in the southeastern United States. The decision follows the signing of long-term transportation agreements that secure the project’s full capacity, enabling the delivery of up to 1.5 billion cubic feet of natural gas per day.

Mississippi Crossing Project: A Transformative Pipeline Expansion

The Mississippi Crossing Project is set to significantly enhance energy infrastructure in the southeastern United States. By improving access to diverse natural gas supplies, the project aims to meet rising regional demand while fostering economic growth. Sital Mody, President of Natural Gas Pipelines at Kinder Morgan, highlighted that the project would reduce energy costs and create opportunities for residential, commercial, and industrial developments.

The Mississippi Crossing Project is also in discussions to expand capacity by an additional 0.4 billion cubic feet per day (Bcf/d), contingent on further customer commitments. This could require additional investment in compressor horsepower, reflecting the region’s urgent need for energy solutions.

Key Details of the Mississippi Crossing Project

The Mississippi Crossing Project will involve the construction of 331km of new pipeline, featuring 286km of 42-inch-diameter and 45km of 36-inch-diameter segments. The project includes two compressor stations and supporting facilities, ensuring efficient transportation and reliability.

The pipeline will originate near Greenville, Mississippi, and terminate near Butler, Alabama, integrating with existing Tennessee Gas Pipeline systems and third-party pipelines. Its route will traverse 11 counties in Mississippi, including Humphreys, Sunflower, and Washington, as well as Choctaw County in Alabama. This infrastructure will provide access to natural gas from multiple basins, strengthening supply security for the southeastern United States.

Addressing Energy Demand in the Southeast

The Mississippi Crossing Project responds to surging energy demand driven by power generation, LNG exports, and residential and commercial consumption. Tennessee Gas Pipeline has positioned the project as a cornerstone of its strategy to expand transportation capacity and ensure supply reliability in a rapidly growing market.

Kim Dang, CEO of Kinder Morgan, stated that the fundamentals of the natural gas market remain robust, citing increased global demand for LNG exports and rising domestic needs for power generation as key growth drivers. Dang also noted that Kinder Morgan has allocated $3.1 billion in capital for the Mississippi Crossing Project and other expansion initiatives, with further announcements expected in the coming months.

Timeline and Approvals for the Mississippi Crossing Project

Pending regulatory and environmental clearances, the Mississippi Crossing Project is slated to commence operations by November 2028. Kinder Morgan reaffirmed its commitment to adhering to all permitting requirements to ensure the timely delivery of this critical infrastructure project.

The Mississippi Crossing Project’s Broader Impact

The Mississippi Crossing Project underscores Kinder Morgan’s commitment to bolstering the southeastern United States’ energy infrastructure. Tennessee Gas Pipeline, which operates one of the largest interstate natural gas pipeline systems in the U.S., views this project as an essential step in addressing the nation’s growing reliance on natural gas for energy security.

By investing in the Mississippi Crossing Project, Kinder Morgan aims to facilitate economic development, meet regional energy demand, and enhance supply reliability across the southeastern United States.