Midla gas line ready for service

Published 1:58 am Friday, April 7, 2017

NATCHEZ — American Midstream Partners received approval this week to place the Midla Natchez Natural Gas Pipeline into service.

American Midstream Partners is replacing a 1920s-era line that runs from Monroe, La., to Baton Rouge with a line that will run from Franklin Parish into Adams County.

The 55-mile, 12-inch pipeline extends from Winnsboro, La., to Natchez with capacity to deliver 50,000 dekatherms, or 50 billion BTU, per day.

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The pipeline has 12 delivery points to local distribution and manufacturing facilities including Louisiana Municipal Gas Authority, BASF Corporation and ATMOS Energy Corporation.

ATMOS Energy Mississippi Director of Public Affairs Robert Lesley said customers should not notice any changes. Lesley said the difference would be from an operations standpoint.

“On paper, what difference (does it) make to customers? Little to nothing,” Lesley said. “But from an operations standpoint, it greatly increases the safety and reliability for the gas line in Natchez.”

Lesley said the decades-old pipeline presented some concerns.

“The chance of something happening to the gas line for Natchez is greatly reduced because of the new pipeline in service,” Lesley said. “People in Natchez can know their safe and reliable gas service should be safer and more reliable.”

The project was financed with $60 million of 3.77 percent senior secured notes due June 30, 2031, that were issued by subsidiaries of the partnership in September 2016 .

“This $60-million project was undertaken as a commitment to provide safe and reliable energy transportation service to our customers and to the communities we operate,” American Midstream President and Chief Executive Officer Lynn Bourdon said. “Additionally, this project will provide the ability to deliver new and incremental volumes to existing and future customers, developing a foundation for further growth in the region. With line fill underway, we are excited to commence service and begin deliveries to our customers in the near future.”

The pipeline is capped at Natchez, which has cut off some natural gas customers, including Kingston.

District 2 Supervisor David Carter worked with American Midstream to keep gas flowing on the old line until a solution could be found, which looks to be a propane hybrid that would feed the Kingston infrastructure through a large tank.

Pinnacle Propane of Houston would supply the propane-air mix to Kingston.