Tennessee Gas Pipeline Company (“Tennessee”), a wholly owned subsidiary of Kinder Morgan, Inc., is proposing the Northeast Supply Diversification Project (“Project”) to provide up to 250,000 dekatherms per day of incremental firm transportation capacity from the developing Marcellus Shale region along its 300 Line system to serve existing markets in New England and the Niagara Falls area of New York.
Tennessee will provide incremental firm transportation service through a combination of pipeline looping, compressor station modifications, and the use of existing and off-system capacity. The Project involves the installation of approximately 7 miles of 30-inch diameter pipeline looping located in Bradford and Tioga counties, Pennsylvania west of Tennessee’s Station 317, compressor station and other facility modifications located in Niagara and Erie counties, New York along its jointly owned Niagara Spur lateral, and the utilization of existing and third party pipeline capacity.
Tennessee has executed binding, 15-year term agreements with Cabot Oil & Gas Corporation, Anadarko Energy Services Company, a subsidiary of Anadarko Petroleum Corporation, and Seneca Resources Corporation, a subsidiary of National Fuel Gas Company, for up to 250,000 dekatherms per day of incremental firm transportation capacity.
To accommodate shippers’ requested transportation paths from Marcellus to New England and at Niagara Falls, Tennessee combined its original NSD Project, which provided transportation to New England, with its MLN Project, which provided transport to Niagara Falls. The combined project is now called the NSD Project.
To minimize impacts from construction, Tennessee will utilize third party pipeline capacity, where feasible, and will construct the planned pipeline loop in an existing Tennessee pipeline corridor, wherever practicable.
The company filed a certificate application in November of 2010, requesting Federal Energy Regulatory Commission approval of the Project.
After regulatory approvals, construction would begin in the first half of 2012. The Project is planned to be in service by November 1, 2012.
Tennessee has served the northeastern United States for more than 50 years. The success of this Project will continue to build upon Tennessee’s long tradition of providing safe and reliable energy service to the region. The Project will support Tennessee’s commitment to serve growing markets and to provide access to a diverse portfolio of natural gas supplies.
Additional information regarding the Northeast Supply Diversification Project is available by calling our toll-free phone number at 1-866-683-5587.