Gas Market Players Seek Optionality With New Gulf Coast Pipelines

Friday, 01/17/2025  Published by: Housley Carr  RBNEnergy

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Natural gas production in the Permian is still on a roll — increasing so fast that midstream infrastructure can barely keep up. But producers, marketers and shippers want more than new takeaway capacity. They also need to know that the pipeline systems they sign up with can reliably move their gas to markets where they can get the best price. Put simply, they are demanding optionality. In today’s RBN blog, we discuss the optionality provided by a WhiteWater Midstream-led joint venture’s (JV) expanding gas pipeline network in Texas, including a brand-new project between the Agua Dulce and Katy gas hubs that’s in the works. 

The rising tide of Permian natural gas production has been one of the most prominent features of the U.S. energy market over the past decade-plus. Even still, the torrent of gas continues to push out, filling every available nook and cranny, displacing gas from other basins, and spurring new pipelines and industrial projects to make good use of all that’s produced. By far the most dynamic market for that gas is along the Gulf Coast, where new centers of demand are being developed, none more impactful than LNG export terminals that enable the gas to flow to overseas markets.