Trinity Gas Storage’s Facility Goes Online, Supports ERCOT Grid

Trinity Gas Storage (Trinity) commenced Phase 1 operations at its 24 Bcf gas storage facility in East Texas. Its central location and connections to existing pipeline infrastructure allow Trinity to enhance reliability across Texas' energy grid (ERCOT). The company secured contracts with power generators, producers, utilities, and marketing and trading companies, including those with LNG exposure.

"The opening of the facility marks a significant achievement for Texas' energy security and electrical reliability," said Trinity CEO Jim Goetz. "The support from both our investors and our customers highlights the role this facility plays in providing secure and reliable services to Texas' gas market."

The project investment was sponsored by Transition Equity Partners (TEP), with assistance from Pan Capital Management, Rice Investment Group, SailingStone Capital Partners, and Abrdn.

"Having followed ERCOT, the Texas grid, and its energy system since the deregulation of generation in 1999, the need for incremental gas storage was evident to TEP and the multi-faceted consortium of investors it assembled who collectively brought expertise in gas storage, upstream, midstream, and development to this project," said Pat Eilers, Managing Partner and Founder of TEP. "Adding roughly 10% of new gas storage supply to ERCOT is consistent with TEP's 'Responsible Decarbonization' strategy, that ensures energy availability, affordability, reliability, and security, in addition to decarbonization benefits."

Project Significance

The Trinity gas storage facility will assist Texas in balancing the supply and demand of natural gas, providing constant service in periods of peak electricity demand. With increasing demand for Trinity’s services, the company plans to expand the facility’s capacity and deliverability, with the next phase scheduled for completion in Q2 2026.

"Trinity Gas Storage is a cornerstone in ensuring stability and reliability for Texas' energy grid,” said Amol Wayangankar, Principal and Founder of Enkon Energy Advisors. “In a time when market fundamentals emphasize the need for flexible, reliable, and secure gas storage, the value of this project cannot be overstated. This facility not only strengthens the grid but also positions Texas in meeting the growing demands of a fast-evolving energy landscape."

The facility commenced operation 16 months before the final investment decision due to Trinity’s development and construction capabilities and represents the first greenfield gas storage facility to come online in Texas in more than 10 years. It’s also among the first ERCOT assets to tackle the supply and reliability challenges brought on by Winter Storm Uri. Located in Anderson County, the gas storage facility supports Texas' increasing energy and power demands spurred by rapid AI and data center growth.

In September 2023, Trinity Gas Storage secured $189 million in equity funding from TEP and debt financing from Investec for construction and operation of its natural gas storage facility in Texas.