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NGC building Cove Estate gas pipeline

Thursday, October 18 2007

The National Gas Company (NGC) is ramping up its natural gas pipeline to Cove Estate in Tobago and which will originate from the BHP Billiton’s facility

The pipeline comes on the heels of a recent signing of a contract between NGC and Houston-based French company, Technip USA Inc, to perform engineering and design for two offshore pipelines, including one to Tobago.

This new pipeline will also and will be constructed in a northerly direction, terminating at Cove Estate on Tobago’s south coast, NGC said, noting directional drilling technology will be used on the approach to the coast because it allows for installation under all near-shore and shore structures, avoiding environmental damage to reefs, rock formations and beach landing.

The gas to be supplied to Cove Estate will provide fuel for TTEC’s Power Generation Plant being built at Cove Estate, in addition to supplying gas to all light industry on the estate, via a gas distribution system.

“It is anticipated that this new pipeline will provide transportation capacity for third parties such as the Eastern Caribbean Gas Pipeline Company for the supply of gas to Barbados via Tobago,” NGC said, noting, however that NGC will only be responsible for the transportation of gas to Tobago. The overall Cove Estate Tobago Pipeline Project is anticipated to be completed by the end of 2009.

The North Eastern Offshore (NEO) Pipeline is a large diameter offshore pipeline that will originate from BHP Billiton’s facility in Block 2 (c) off the north-east coast of Trinidad and connect into NGC’s existing pipeline network to the south. The line, NGC said, will provide transportation capacity for new gas supplies from BHP Billiton and EOG and will be sized to have additional capacity for other suppliers of gas operating off the north-east coast.

At present, there is no gas pipeline infrastructure in this area and the overall NEO pipeline project is anticipated to be completed by the end of 2009, NGC said.

The company said its pipeline network will significantly improve its natural gas transportation capacity and provide the necessary infrastructure for bringing gas from new production fields off both Trinidad and Tobago’s north east coast to their respective markets.

The deal includes the provision of subsea and land surveying services and environmental/permitting services, project and construction management, NGC said in a press statement.

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