Top U.S. LNG exporter Cheniere Energy Inc. will form a joint venture with units of Whistler Pipeline LLC to construct the ADCC natural gas pipeline, WhiteWater Midstream LLC said on Monday.
The development comes against the backdrop of strong demand for U.S. liquefied natural gas as Europe loses access to Russian gas.
The 42-inch ADCC pipeline is expected to extend about 43 miles from Whistler's terminus to Cheniere's Corpus Christi liquefaction facility in Texas.
The pipeline can transport up to 1.7 billion cubic feet per day (bcf/d) of natural gas, expandable to 2.5 bcf/d, and is expected to be in service in 2024, pending regulatory approvals.
Cheniere in June gave the financial go-ahead to an $8 billion expansion of its Corpus Christi plant and signaled further expansions could be in store.
Whistler Pipeline is owned by a consortium including MPLX LP, WhiteWater, and a JV between Stonepeak and West Texas Gas Inc.
(Reporting by Ruhi Soni; Editing by Shounak Dasgupta)
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