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FERC Approves Transco's Leidy-to-Long Island Expansion

FERC has approved construction of a $121 million expansion of Williams' Transcontinental Gas Pipeline to provide 100,000 Dth/d of new firm transportation service to KeySpan from the Leidy Hub to facilities on Long Island. The capacity from the project is being combined with 50,000 Dth/d of existing firm capacity that was relinquished during a recent open season. The expansion is scheduled to be in service in November 2007.

The project will include looping of Transco's Leidy Line in Pennsylvania, replacement and uprating of Transco's Lower New York Bay Mainline "C," construction of 10,000 horsepower of new compression at a new station in Middlesex, NJ, and modifications at various other facilities. Transco said the project will involve the addition of 12 miles of 42-inch diameter pipe and replacement of about three miles of 42-inch diameter pipe. KeySpan signed 20-year agreements for the capacity.

FERC said that the project would have no adverse operational impact on existing Transco shippers. The project will be used to serve incremental growth in KeySpan's markets, and therefore also will have no adverse affects on competing pipelines, the Commission said.

"We look forward to continuing to work with all of the stakeholders involved to continue to develop this project to provide much-needed incremental capacity to this part of the country," said Phil Wright, president of Williams' gas pipeline business.

Construction of the compressor station is scheduled to begin in January 2007, while pipeline construction is slated to begin in March 2007.

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