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Enstor Announces Receipt and Acceptance of FERC Certificate to Significantly Expand Its Mississippi Hub Natural Gas Storage Facility

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Enstor Gas has received FERC approval for its Mississippi Hub Expansion Project, with construction set to begin after reaching final investment decision (FID). The project will expand the underground natural gas storage facility in Simpson County, Mississippi by adding three storage caverns with 10 Bcf capacity each.

The expansion will increase total working gas storage capacity by 33.5 Bcf to reach 56.3 Bcf, approximately 2.5 times the current capacity. Injection capacity will increase to 1.90 MMDth/day, while withdrawal capacity remains at 2.40 MMDth/day.

The first storage cavern is already fully subscribed under a long-term contract with Kinder Morgan (KMI). The project, expected to be in-service by 2028, includes construction of compression, dehydration, saltwater disposal wells, and related facilities. The facility serves markets through interconnects with Southern Natural Gas, Southeast Supply Header, and Transcontinental Gas Pipe Line.

Enstor Gas ha ottenuto l'approvazione della FERC per il suo Progetto di Espansione del Mississippi Hub, con l'inizio dei lavori previsto dopo la decisione finale di investimento (FID). Il progetto prevede l'ampliamento dell'impianto sotterraneo di stoccaggio di gas naturale nella contea di Simpson, Mississippi, aggiungendo tre caverne di stoccaggio con una capacità di 10 Bcf ciascuna.

L'espansione aumenterà la capacità totale di stoccaggio di gas operativo di 33,5 Bcf, raggiungendo 56,3 Bcf, circa 2,5 volte la capacità attuale. La capacità di iniezione salirà a 1,90 MMDth/giorno, mentre la capacità di prelievo rimarrà a 2,40 MMDth/giorno.

La prima caverna di stoccaggio è già completamente sottoscritta tramite un contratto a lungo termine con Kinder Morgan (KMI). Il progetto, previsto in esercizio entro il 2028, include la costruzione di compressori, impianti di disidratazione, pozzi per lo smaltimento di acqua salata e infrastrutture correlate. L'impianto serve i mercati attraverso collegamenti con Southern Natural Gas, Southeast Supply Header e Transcontinental Gas Pipe Line.

Enstor Gas ha recibido la aprobación de la FERC para su Proyecto de Expansión del Mississippi Hub, con la construcción programada para comenzar tras alcanzar la decisión final de inversión (FID). El proyecto ampliará la instalación subterránea de almacenamiento de gas natural en el condado de Simpson, Mississippi, añadiendo tres cavernas de almacenamiento con una capacidad de 10 Bcf cada una.

La expansión incrementará la capacidad total de almacenamiento de gas operativo en 33.5 Bcf, alcanzando 56.3 Bcf, aproximadamente 2.5 veces la capacidad actual. La capacidad de inyección aumentará a 1.90 MMDth/día, mientras que la capacidad de extracción se mantendrá en 2.40 MMDth/día.

La primera caverna de almacenamiento ya está completamente comprometida bajo un contrato a largo plazo con Kinder Morgan (KMI). Se espera que el proyecto esté en servicio para 2028 e incluye la construcción de compresores, deshidratación, pozos para la eliminación de agua salada y otras instalaciones relacionadas. La instalación atiende mercados a través de interconexiones con Southern Natural Gas, Southeast Supply Header y Transcontinental Gas Pipe Line.

Enstor Gas는 미시시피 허브 확장 프로젝트에 대해 FERC 승인을 받았으며, 최종 투자 결정(FID) 후 건설을 시작할 예정입니다. 이 프로젝트는 미시시피 주 심슨 카운티에 위치한 지하 천연가스 저장 시설을 확장하여 각각 10 Bcf 용량의 저장 동굴 세 개를 추가할 계획입니다.

확장으로 총 작업용 가스 저장 용량이 33.5 Bcf 증가하여 56.3 Bcf에 이르며, 이는 현재 용량의 약 2.5배에 해당합니다. 주입 용량은 하루 1.90 MMDth로 증가하고, 인출 용량은 하루 2.40 MMDth로 유지됩니다.

첫 번째 저장 동굴은 이미 Kinder Morgan (KMI)와의 장기 계약으로 완전히 예약되었습니다. 이 프로젝트는 2028년까지 가동될 예정이며, 압축기, 탈수 시설, 염수 처리 우물 및 관련 시설의 건설을 포함합니다. 이 시설은 Southern Natural Gas, Southeast Supply Header, Transcontinental Gas Pipe Line과의 연결을 통해 시장에 공급합니다.

Enstor Gas a obtenu l'approbation de la FERC pour son projet d'expansion du Mississippi Hub, avec un début des travaux prévu après la décision finale d'investissement (FID). Le projet vise à étendre l'installation de stockage souterrain de gaz naturel dans le comté de Simpson, Mississippi, en ajoutant trois cavernes de stockage d'une capacité de 10 Bcf chacune.

L'expansion augmentera la capacité totale de stockage de gaz actif de 33,5 Bcf pour atteindre 56,3 Bcf, soit environ 2,5 fois la capacité actuelle. La capacité d'injection passera à 1,90 MMDth/jour, tandis que la capacité de retrait restera à 2,40 MMDth/jour.

La première caverne de stockage est déjà entièrement souscrite via un contrat à long terme avec Kinder Morgan (KMI). Le projet, prévu pour être opérationnel d'ici 2028, comprend la construction de compresseurs, d'installations de déshydratation, de puits de rejet d'eau salée et d'installations connexes. L'installation dessert les marchés via des interconnexions avec Southern Natural Gas, Southeast Supply Header et Transcontinental Gas Pipe Line.

Enstor Gas hat die FERC-Zulassung für sein Mississippi Hub Expansion Project erhalten, wobei der Baubeginn nach der endgültigen Investitionsentscheidung (FID) geplant ist. Das Projekt erweitert die unterirdische Erdgas-Speicheranlage im Simpson County, Mississippi, durch Hinzufügung von drei Speicherhöhlen mit jeweils 10 Bcf Kapazität.

Die Erweiterung erhöht die gesamte nutzbare Gasspeicherkapazität um 33,5 Bcf auf 56,3 Bcf, was etwa dem 2,5-fachen der aktuellen Kapazität entspricht. Die Einspritzkapazität steigt auf 1,90 MMDth/Tag, während die Entnahmekapazität bei 2,40 MMDth/Tag bleibt.

Die erste Speicherhöhle ist bereits vollständig durch einen langfristigen Vertrag mit Kinder Morgan (KMI) ausgelastet. Das Projekt, das voraussichtlich bis 2028 in Betrieb genommen wird, umfasst den Bau von Kompressions-, Entwässerungs-, Salzabwässer-Brunnen und zugehörigen Anlagen. Die Anlage versorgt Märkte über Anschlüsse an Southern Natural Gas, Southeast Supply Header und Transcontinental Gas Pipe Line.

Positive
  • FERC approval received and FID reached for major expansion project
  • First storage cavern already secured with long-term contract from KMI
  • Significant capacity increase: 2.5x current storage capacity
  • Strategic location with multiple pipeline interconnections
Negative
  • Long implementation timeline - completion not expected until 2028

Insights

The FERC approval of Enstor's Mississippi Hub Expansion Project represents a strategic win for Kinder Morgan that strengthens its competitive position in the growing Southeast natural gas market. KMI has secured a long-term contract for one of three new storage caverns, demonstrating foresight in capturing critical infrastructure ahead of projected demand growth.

This expansion directly supports KMI's existing Southeast regional growth initiatives, including the Evangeline Pass, Mississippi Crossing, and South System Expansion 4 projects. The additional storage capacity creates significant operational synergies with KMI's extensive pipeline network, enhancing service offerings to customers seeking flexibility during periods of price volatility.

For midstream operators like KMI, natural gas storage facilities generate stable, predictable cash flows through fixed-fee contracts, supporting the company's low-risk business model. While the 2028 in-service timeline means this won't impact near-term financials, it provides visibility into KMI's long-term growth trajectory.

The expansion's timing aligns perfectly with accelerating LNG export development along the Gulf Coast and increased natural gas-fired power generation – both key demand drivers in KMI's core markets. This positioning allows KMI to capitalize on these structural growth trends while providing essential balancing services as renewable energy penetration increases.

By securing this capacity early, KMI demonstrates management's conviction in sustained natural gas demand growth and reinforces the company's commitment to developing integrated midstream solutions that extend beyond simple pipeline transportation.

HOUSTON--(BUSINESS WIRE)-- Emerald Storage Holdings LLC, the parent company of Enstor Gas (Enstor), and its subsidiary Mississippi Hub, LLC, today announced that the Federal Energy Regulatory Commission (FERC) approved its application to construct and operate the Mississippi Hub Expansion Project. Enstor reached a final investment decision (FID) and has already notified FERC that it has accepted the certificate. The FERC order, issued March 20, 2025, also affirmed Mississippi Hub’s authorization to charge market-based rates for its proposed firm and interruptible storage, hub, and wheeling services. Enstor expects the Mississippi Hub Expansion Project to be in-service by 2028.

Mississippi Hub is a high-deliverability underground natural gas storage facility located on the Bond Salt Dome in Simpson County, Mississippi. It currently serves strategic markets through its interconnects with Southern Natural Gas Company (SNG), Southeast Supply Header (SESH), and Transcontinental Gas Pipe Line (Transco).

The expansion plan includes three additional storage caverns at Mississippi Hub, each with approximately 10 billion cubic feet (Bcf) of working storage capacity as well as incremental expansion of Mississippi Hub’s existing caverns. The project also includes the construction of compression, dehydration, saltwater disposal wells, and related facilities to accommodate the expansion. In total, the Mississippi Hub Expansion Project will add up to 33.5 Bcf of new working gas capacity and up to 0.7 million dekatherms per day (MMDth/day) of new injection capacity. Upon completion of the expansion, Mississippi Hub’s total working gas storage capacity is expected to be 56.3 Bcf, approximately 2.5 times the facility’s present capacity. The injection capacity will increase to a total of 1.90 MMDth/day and the withdrawal capacity will remain at 2.40 MMDth/day, as previously certificated before the expansion.

“We are pleased to have received FERC’s approval for our Mississippi Hub Expansion Project, and look forward to moving ahead with construction,” said Enstor CEO Paul Bieniawski. “This Expansion Project will not only enhance reliability and flexibility for our customers in the Gulf Coast and Southeast markets, but it will also provide significant additional natural gas storage capacity at a time when it’s needed most. With U.S 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 U.S. and beyond.”

The first of the three new storage caverns is already fully subscribed under a long-term contract with a subsidiary of Kinder Morgan, Inc. (NYSE: KMI) for storage services on Southern Natural Gas and Tennessee Gas Pipeline systems, as this particular corridor is undergoing tremendous growth due to increasing demand from LNG exports and power generation.

“Expansion projects underway for the Southeast 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,” said KMI East Region Chief Commercial Officer Ernesto Ochoa. “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.”

Mississippi Hub Expansion Highlights

Enstor expects the Mississippi Hub Expansion Project to positively impact Mississippi and the region. Expected benefits include:

  • Achieving natural gas storage capacity expansion responsibly, with safety and environmental preservation as top priorities during the project’s design, implementation/construction and operation phases.
  • Supporting economic development and job creation in Mississippi through direct and indirect employment opportunities during construction and operation.
  • Generating increased tax and other fee revenues to local, state, and federal governments.
  • Minimizing environmental impacts by optimizing the use of existing infrastructure, resulting in minimal land disturbance.
  • Enhancing energy security, reliability, flexibility, and diversity to customers in Mississippi and surrounding areas.
  • Providing new access to multiple natural gas supply sources and markets to improve price competitiveness for customers.
  • Providing critical fuel for backup power generation for renewable energy.

About Enstor

Enstor is one of the largest privately owned natural gas storage company in the United States. Headquartered in Houston, the company owns and operates six active underground natural gas storage facilities in four states with more than 110 Bcf in working gas capacity. Enstor has approximately 179 miles of transmission pipelines and 39 interconnects to major transmission pipelines. For more information, please visit www.enstorinc.com.

About Mississippi Hub, LLC

Enstor's Mississippi Hub is a FERC-certified high-deliverability underground facility located on the Bond Salt Dome in Simpson County, Mississippi. Mississippi Hub has multiple pipeline interconnections and is ideally located to serve growing demand centers. The facility today has three storage caverns holding up to 22.4 Bcf of working gas. The facility offers close proximity to major interstate pipelines and pipeline expansion projects that access major downstream natural gas markets. It also provides access to major sources of shale gas production, liquefied natural gas exports, as well as traditional gas supplies along the Gulf Coast. For additional details please visit www.enstorinc.com.

About Kinder Morgan, Inc.

Kinder Morgan, Inc. (NYSE: KMI) is one of the largest energy infrastructure companies in North America. Access to reliable, affordable energy is a critical component for improving lives around the world. We are committed to providing energy transportation and storage services in a safe, efficient and environmentally responsible manner for the benefit of the people, communities and businesses we serve. We own an interest in or operate approximately 79,000 miles of pipelines, 139 terminals, 704 Bcf of working natural gas storage capacity and have renewable natural gas production capacity of approximately 6.1 Bcf per year with an additional 0.8 Bcf in development. Our pipelines transport natural gas, refined petroleum products, crude oil, condensate, CO2, renewable fuels and other products, and our terminals store and handle various commodities including gasoline, diesel fuel, jet fuel, chemicals, metals, petroleum coke, and ethanol and other renewable fuels and feedstocks. Learn more about our work advancing energy solutions on the lower carbon initiatives page at www.kindermorgan.com.

Media Contacts:

Enstor Gas

media@enstorinc.com

Kinder Morgan

newsroom@kindermorgan.com

Source: Enstor Gas

FAQ

What is the total capacity increase expected from Enstor's Mississippi Hub Expansion Project?

The expansion will add 33.5 Bcf of new working gas capacity, bringing total capacity to 56.3 Bcf - 2.5 times the current capacity.

When will the Mississippi Hub Expansion Project be completed?

The project is expected to be in-service by 2028.

How many new storage caverns will be added in the Mississippi Hub expansion?

Three new storage caverns will be added, each with approximately 10 billion cubic feet (Bcf) of working storage capacity.

What is KMI's involvement in the Mississippi Hub Expansion Project?

A Kinder Morgan (KMI) subsidiary has secured a long-term contract for the first storage cavern for storage services on Southern Natural Gas and Tennessee Gas Pipeline systems.

What will be the new injection and withdrawal capacities after the expansion?

The injection capacity will increase to 1.90 MMDth/day, while withdrawal capacity will remain at 2.40 MMDth/day.
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