EQT Midstream launched an open season Monday to retest interest in a multi-year expansion of its Equitrans interstate pipeline and gathering systems in the Marcellus Shale fairway of West Virginia and Pennsylvania, which could provide up to 1.2 Bcf/d of capacity to Northeast gas markets.

The EQT Corp. subsidiary last year held an open season to first test interest in an expansion of its Appalachian pipe systems that extended from West Virginia to Pennsylvania (see Daily GPI, Sept. 8, 2008).

At the time EQT and El Paso Corp.’s Tennessee Gas Pipeline (TGP) were working on the Northeast Passage project, which was to deliver Kentucky gas to market. However, Equitrans earlier in the year had put into service the Big Sandy Pipeline, a 68-mile, 20-inch diameter pipeline in eastern Kentucky, which delivers 130,000 Dth/d to TGP (see Daily GPI, April 11, 2008). A month after first launching an open season to test interest in expanding the Marcellus Shale systems, EQT said it would step back to look at ways to move Appalachian gas to market (see Daily GPI, Aug. 20, 2008).

“Over the last 12 months, based on market interest, we have spent considerable time looking at ways to reengineer our interstate pipeline and gathering systems to provide producers access to desirable markets,” said EQT Corp.’s Randall Crawford, who is president of Midstream & Distribution. “These projects are the first step in the development of that opportunity for our customers.

“Our pipelines are well positioned in the heart of the Marcellus fairway and, through the utilization of existing corridors and right-of-ways, we can provide timely and cost-effective transportation services to pipelines that serve these markets. The focus of our efforts is to provide strategic infrastructure options to customers that will assist them in maximizing the development of their Marcellus Shale acreage.”

The newly launched open season would test interest in expanding capacity through new pipeline looping, high-pressure laterals and compression facilities. Equitrans has the ability to add 900,000 Dth/d, EQT said. With enough support, capacity would be added to the Equitrans system over a three-year period with an independent project planned for each year. Each project would be supported by market commitments, and federal regulatory approval would be pursued as commitments are obtained.

Another subsidiary, EQT Gathering, said it has identified projects to add up to 300,000 Dth/d of capacity to access the interstate pipeline systems that serve the Northeast and Mid-Atlantic markets.

The open season will extend until noon EDT Oct. 14. For information contact Marc Weaver at (412) 395-3515 or gweaver@eqt.com; or Andy Murphy at (412) 395-3358 or amurphy@eqt.com.

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