Entergy Texas: Fueling Growth with Strategic Partnerships

Entergy Texas has taken a significant step towards securing a reliable and cost-effective natural gas supply for its customers by partnering with Kinder Morgan and Golden Pass LNG. The collaboration, centered around Kinder Morgan's $1.7 billion Trident Intrastate Pipeline project, will transport Permian Basin and other natural gas supplies from the Katy hub to the LNG and industrial corridor near Port Arthur, Texas. This strategic move aligns with Entergy Texas' Southeast Texas Energy Plan (STEP Ahead plan) and brings several key benefits to the region.



Lower Costs for Customers
By accessing competitive natural gas markets through the Katy hub, Entergy Texas can pass fuel savings directly to its customers. This strategic partnership enables the company to maintain affordable rates for customers during the buildout of the STEP Ahead plan, ensuring that the region's energy needs are met without placing an undue burden on consumers.

Reliable Energy for the Future
The partnership with Kinder Morgan and Golden Pass LNG ensures a steady supply of natural gas for Entergy Texas' proposed Legend and Lone Star Power Stations, supporting Southeast Texas' growing energy needs. The Trident Pipeline is expected to be operational in early 2027, aligning with the start of major industrial projects in the region. This timely collaboration will help Entergy Texas meet the 40% increase in generation capacity needed by 2028, ensuring a reliable energy supply for decades to come.

Enhanced Flexibility and Resiliency
The new pipeline enhances Entergy Texas' ability to adapt and maintain reliable operations across nearly all of its power plants, including its Spindletop underground natural gas storage caverns. This increased flexibility and resiliency will help Entergy Texas better withstand supply disruptions and demand spikes, ensuring a consistent and stable energy supply for the region.

Fueling Economic Growth
This collaboration unlocks further economic development expansion in the region. The pipeline is expected to transport approximately 1.5 billion cubic feet per day of natural gas, with possible expansion opportunities up to 2.8 billion cubic feet per day. This reliable energy supply will support the growth of the LNG and industrial corridor, fostering economic development and job creation in Southeast Texas.

The Trident Intrastate Pipeline project is expected to have a significant positive impact on the reliability and cost of natural gas supply for Entergy Texas' customers. By securing priority access to this new pipeline system, Entergy Texas has positioned itself advantageously for the region's next phase of growth, creating a more resilient operational framework. The pipeline's expected capacity and potential expansion opportunities ensure that Entergy Texas can meet growing demand and maintain operational flexibility even during periods of high demand or supply disruptions.

In conclusion, Entergy Texas' strategic partnership with Kinder Morgan and Golden Pass LNG is a critical component of the company's long-term energy plan. By securing a reliable and cost-effective natural gas supply, Entergy Texas is building the foundation for a stronger energy future in Southeast Texas, addressing the growing energy demand and supporting the region's economic development.