For more than two years MDN has tracked the progress of a proposed LNG export facility to be located at Elba Island (Georgia, near Savannah), a project of Kinder Morgan, the largest midstream company in the U.S. In June we reported that the Federal Energy Regulatory Commission gave the project a green light (see KM’s Elba Island LNG Export Plant Approved by FERC). We said at the time, “We don’t think it’s much of a stretch that Marcellus Shale gas…will be at least some of, if not the primary, source for gas exported from the Elba Island facility.” Our suspicion was correct. Yesterday FERC authorized the Elba Island project to begin initial site preparation. FERC has not yet authorized the beginning of construction. Each step of the process must receive a “Mother, May I?” authorization from FERC before it gets done. However, an article published yesterday mentions that the Elba Island project will get fed with gas “from a number of producing basins, including the Marcellus shale”…
