April 16, 2025 [Offshore Technology]- Emerald Storage Holdings, the parent company of Enstor Gas and its subsidiary Mississippi Hub, has received approval from the Federal Energy Regulatory Commission (FERC) to expand its Mississippi Hub natural gas storage facility.
Enstor has accepted the FERC certificate, marking a significant milestone for the Mississippi Hub Expansion Project, which is expected to be operational by 2028.
The FERC order, issued on 20 March 2025, also grants Mississippi Hub the authority to charge market-based rates for its storage, hub and wheeling services.
The project will add three new storage caverns, each with around ten billion cubic feet (bcf) of working storage capacity, along with enhancements to existing caverns.
Enstor CEO Paul Bieniawski said: “We are pleased to have received FERC’s approval for our Mississippi Hub Expansion Project and look forward to moving ahead with construction.
“This expansion project will not only enhance reliability and flexibility for our customers in the Gulf Coast and south-east markets, but it will also provide significant additional natural gas storage capacity at a time when it is needed most.
“With US LNG exports rapidly expanding and the demand for gas-fired power generation continuing to grow nationwide, Enstor is excited to be on the forefront of providing the critical infrastructure necessary to ensure reliable energy security for the US and beyond.”
The expansion involves constructing compression, dehydration, saltwater disposal wells and related facilities. In total, the project will add up to 33.5bcf of new working gas capacity and 700,000 dekatherms per day of new injection capacity.
Upon completion, the facility’s total working gas storage capacity will reach 56.3bcf.
The first new cavern is fully subscribed under a long-term contract with a Kinder Morgan subsidiary, serving growing demand from liquefied natural gas exports and power generation.
Mississippi Hub connects with Southern Natural Gas, Southeast Supply Header and the Transcontinental Gas Pipeline, enhancing its strategic market reach.
KMI East Region chief commercial officer Ernesto Ochoa said: “Expansion projects under way for the south-east region, including Evangeline Pass, Mississippi Crossing and the South System Expansion 4 projects, are the direct result of significant natural gas demand expectations for the near future. With growing natural gas demand, there is a need for additional storage in this region.
“During times of volatile natural gas pricing or for operational flexibility, storage provides customers with optionality. Additional storage coupled with our extensive network further enhances the services we can provide our customers.”
Enstor anticipates positive regional impacts including job creation, economic development and increased tax revenues.
The project aims to minimise environmental impacts by utilising existing infrastructure and enhancing energy security and price competitiveness for customers.
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