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DTI's Lebanon West II Project Gets FERC Green Light

FERC has approved Dominion Transmission Inc.'s (DTI) Lebanon West II Project, which would carry gas from Pennsylvania to Lebanon, OH.

The project would enable DTI to provide an additional 130,000 Dth/d of firm transportation service from its MarkWest Liberty Bluestone Interconnection in Butler County, PA, to the Lebanon-Texas Gas Interconnection with Texas Gas Transmission Corp. in Warren County, OH [CP14-555]. Lebanon West II facilities would be in the Pennsylvania counties of Armstrong, Allegheny and Beaver and in the Ohio counties of Licking, Fayette, Coshocton, Tuscarawas, Harrison, Carroll and Columbiana. Dominion estimates that the project will cost $111.8 million.

The new firm transportation capacity is fully subscribed pursuant to a precedent agreement with RE Gas, resulting from an open season held in November 2013 (see Daily GPIOct. 10, 2014).

"DTI's natural gas pipeline system is uniquely positioned to transport new gas production in Pennsylvania, Ohio and West Virginia as its pipelines traverse the areas of significant supply growth," the company told the Federal Energy Regulatory Commission in its application, which was filed in October 2014. "DTI is proposing the project in response to customer requests for incremental pipeline capacity which will promote supply diversity as well as meet the growing market demand for natural gas. The additional firm transportation capacity for the new gas supplies will also alleviate the possibility of shortages by providing more gas to market and firm capacity to get this gas to market."

DTI in its application had proposed to begin construction of the project in September 2015 in order to meet an in-service date of Nov. 1, 2016.

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