Gas storage unit coming to Larose

€ Salt caverns to serve as natural gas storage

By MICHAEL DAVIS

michael@tri-parishtimes.com

A new gas storage facility will start the approval process this week for the construction of a $200 million project in Lafourche Parish.

BCR Holdings Inc. (BCR), a New York-based investment group, aims to develop 15 billion cubic feet of natural gas storage using naturally occurring salt caverns south of Larose.

The Bully Camp salt dome that would be used for the project is approximately 2,000 feet underground and more than 1.25 miles wide. Leaching would be necessary to prepare the dome for storage and could take up to two years.

The facility, termed Bully Camp Gas Storage, would include the construction of a new 20-inch pipeline intended to transport natural gas between caverns and a processing plant. The new pipeline would interconnect with Gulf South, Bridgeline, TETCO and Williams Discovery pipelines.

BCR will be submitting a request for approval to the Federal Energy Regulatory Commission (FERC) with plans to start the project by the end of 2010. If approved, the project would be complete by 2014. However, FERC must first issue a permit, something that could take months.

According to BCR, the new facility would help ensure “the reliable and consistent delivery of natural gas to customers in the region, particularly during peak demand.” Gas could be extracted from the caverns based on consumer demand or in the event of a natural disaster.

For the most part, gas would be stored during summer months when demand is low and withdrawn during winter months when demand is high.

BCR is working in conjunction with the Natural Resource Group, an environmental engineering firm, to ensure wildlife habitats and nearby residents will not be adversely affected.

In a press release BCR said, “Ensuring public safety and protecting the environment are BCR’s highest priorities when designing, constructing and operating this gas storage facility.

“The company will comply with or exceed all applicable federal, state and local requirements and will work with the neighboring community, public officials and regulatory agencies to minimize the impact of the project on the environment and surround community.”

Gina Judy, an associate consultant of the Natural Resource Group, said projects of this magnitude had already been completed in the region, adding that habitat destruction was a non-issue. She also said that barriers would be used to dampen noise from construction efforts.

An open-house last Wednesday at the Lafourche Civic Center produced positive results for BCR. Tom Cook, executive vice president of project development, said city officials and local residents seemed optimistic. “I haven’t heard anything negative here tonight,” he claimed. “Usually there’s at least one group [opposed to the project.] But so far, we’ve heard nothing but positive things.”

BCR documents said that nearly 200 jobs would be created during the construction process and around 10 would be needed once the facility was functional. Cook added that while Lafourche has seen some of the lowest unemployment numbers in the state, the project would create new opportunities.

Tom Cook, BCR Holdings executive vice president of project development, talks with Lafourche native Timmie Plaisance about a proposed gas storage facility in Larose, La. An open-house was held last Wednesday at the Lafourche Civic Center. *Photo by MICHAEL DAVIS