FERC has approved Columbia Gas Transmission's (TCO) request for a pre-filing review process for the proposed Mountaineer Xpress project, which could carry up to 2.7 Bcf/d of Utica and Marcellus shale gas to the TCO pool and other points.
Mountaineer Xpress would include a 165-mile pipeline and expand TCO's existing WB Line to create 2.7 Bcf/d of firm capacity from existing and new points of receipt along or near the system. The pipeline's footprint would be near most of the Appalachian Basin's third-party processing plants, with the ability to deliver to the TCO Pool and Leach, KY, to provide for higher regional netback value, liquidity and access to Gulf Coast area markets.
Mountaineer Xpress, expected to cost $2.03 billion, was announced a year ago (see Daily GPI, Sept. 8, 2014). A binding open season for the project was held earlier this year (see Daily GPI, April 1) and TCO has said it intends to file an application with the Federal Energy Regulatory Commission by April [PF15-31].
Mountaineer Xpress and a sister project, Gulf Xpress, were approved by the Columbia Pipeline Group Inc. (CPG) board in June (see Daily GPI, June 24). The projects are supported by long-term, firm transportation contracts with a variety of Marcellus and Utica producers and shippers, CPG said.
Gulf Xpress, expected to cost $674 million, would include installing compression to existing and new stations along Columbia Gulf's system, as well as limited pipeline looping, system modifications and related facilities. GXP would provide 860,000 Dth/d of firm capacity from Leach to the Columbia Gulf Mainline Pool and other delivery points as far south as Rayne, LA.
CPG anticipates in-service dates for the projects in 4Q2018. The projects are in addition to CPG's previously announced Leach XPress and Rayne XPress projects attaching more receipt locations in Ohio and West Virginia (see Shale Daily, June 8; Aug. 12, 2014).