Dominion natural gas transmission and storage subsidiary Dominion Transmission has reached a 15-year agreement with the gas subsidiary of Consol Energy Inc. for firm transportation of Consol’s Marcellus Shale production, Dominion said Monday.

The associated project — which would include new compression facilities at three existing stations in central Pennsylvania — would be capable of transporting 200,000 Dth/d. It would move supplies from various receipt points in central and southwestern Pennsylvania to a nexus of market pipelines and storage facilities in Leidy in Clinton County, PA.

Earlier this year Dominion sold its natural gas exploration and production business to Consol so that the company could concentrate on its regulated businesses, including increased transportation and storage infrastructure opportunities resulting from Marcellus Shale discoveries (see Daily GPI, March 16).

Dominion plans to file in December with the Federal Energy Regulatory Commission for a certificate for the project. If the project is approved, construction is planned to begin in March 2012 for in-service in November 2012.

At year-end 2009 Consol, a leading Appalachian producer of natural gas and coal, had proved gas reserves of 2.9 Tcf.

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