The other projects—the Northeast Upgrade Project, the Northeast Supply Diversification Project and the MPP project—are expected to be placed in service in 2012 and 2013, subject to receipt of regulatory approvals (see sidebar for details).
El Paso Corporation owns North America’s largest interstate natural gas pipeline system and is one of North America’s largest independent oil and natural gas producers. For more information visit www.elpaso.com.
Four separate pipeline infrastructure projects in the Northeast U.S. are expected to transport an additional 1.5 billion cubic feet per day of domestic natural gas. Each project is independent of the other and has different customers who have contracted for the natural gas the projects will transport.
1. 300 Line Project. This project has a long-term contract with EQT Energy LLC that will provide access to diversified natural gas supplies from the Gulf Coast, Appalachian, Rockies and Marcellus Shale supply areas. On November 1, TGP placed the 300 Line Project in service. Estimated project cost was about $0.7 billion.
2. Northeast Supply Diversification Project. The proposed Northeast Supply Diversification (NSD) project resulted from customer interest in TGP’s other Northeast projects. Shipper agreements are in place with Cabot Oil & Gas Corporation, Anadarko Energy Services Company and Seneca Resources Corporation. The project involves installation of approximately seven miles of 30-inch diameter pipeline looping in Bradford and Tioga counties, other facility modifications in Niagara and Erie counties, NY, and utilization of existing and third-party pipeline capacity. (Looping does not replace existing pipeline. Loops are installed adjacent to and connecting with existing pipelines to add incremental capacity.) Construction should begin in early 2012 with an anticipated in-service date of November 2012. Estimated cost is $73 million. Visit www.elpaso.com/nsdproject.
3. Northeast Upgrade Project. The proposed Northeast Upgrade Project (NEUP) is smaller than the 300 Line Project. Customers are Chesapeake Energy Marketing, Inc., and Statoil Natural Gas LLC. The project is an extension of TGP’s existing presence in the Marcellus Shale play. It involves the construction of 37 miles of looping (five loops) and modification to four existing compressor stations. FERC decision on authorization is expected by February 19, 2012 with an anticipated in-service date of November 2013. Estimated project cost is $400 million. Visit www.elpaso.com/northeastupgrade.
4. MPP Project. The proposed MPP Project will provide approximately 240,000 dekatherms per day from the developing production region along TGP’s existing 300 Line system to serve established markets, including markets in the Northeast. Customers are Chesapeake Energy Corp. and Southwestern Energy Co. The project includes installation of approximately 7.9 miles of 30-inch diameter steel pipe adjacent to, or near, an existing pipeline on TGP’s 300 Line in Potter County. Also planned are modifications and upgrades at four existing compressor stations on TGP’s 300 Line located in Mercer, Venango, McKean and Potter counties. Pending all appropriate approvals, construction should begin in summer 2013, with an anticipated in-service date of November 2013. Estimated project cost is under $100 million. Visit www.elpaso.com/mpp.