OREANDA-NEWS. April 18, 2017. US energy infrastructure company Kinder Morgan has signed a letter of intent with DCP Midstream to jointly develop the planned 1.7 Bcf/d (48mn m?/d) pipeline that will connect Permian basin producers with growing demand on the Gulf coast.

The proposed 430-mile (692 km) project known as Gulf Coast Express pipeline will stretch from the Waha hub in west Texas to Agua Dulce, near Corpus Christi. The pipeline is scheduled to begin service in the second half of 2019, depending on shipper commitments.

Kinder Morgan is conducting a non-binding open season for the project, which it will build and operate. DCP will likely be a partner and shipper on the line, Kinder Morgan said. The open season runs through 20 April.

"We believe DCP's strong Permian position, when combined with the downstream market connectivity of Kinder Morgan's Texas intrastate network, creates a valuable project for both producers and markets," said Duane Kokinda, Kinder Morgan's natural gas midstream president.

Gulf Coast Express will feed gas into Agua Dulce where it could connect to multiple intrastate and interstate pipelines. Gas from Agua Dulce could feed Cheniere's planned Corpus Christi LNG project and provide gas for export to Mexico.