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Inergy, UGI Marcellus natural gas pipeline negotiating with shippers

Inergy Midstream LP, UGI Energy Services Inc., and Capitol Energy Ventures Corp., a wholly owned subsidiary of WGL Holdings Inc., confirmed sufficient demand for their 30-36 in. OD Commonwealth natural gas pipeline to move the project forward.

Inergy said a broad customer spectrum—including local distribution companies, electric generators, producers, and marketers—from Pennsylvania, the Mid-Atlantic. and the Southeast US expressed interest in Commonwealth .

The companies are negotiating with prospective shippers to finalize design and route selection and reach binding agreements to support Commonwealth’s construction. As proposed, the pipeline would move gas from the Marcellus and Utica shales to Philadelphia, Baltimore, Washington, DC, and the Delmarva peninsula.

At a proposed length of 200 miles and pending regulatory approvals, Commonwealth would ship at least 800 MMcfd by 2015. It would begin from the southern end of Inergy’s Marc I pipeline and interconnect with a number of interstate pipelines along its route (OGJ Online, Mar. 6, 2012).

Spectra Energy Corp. earlier this year announced a pipeline to move 1.25 bcfd of natural gas from the Marcellus, Utica, and Appalachian shales to Georgia, Alabama, and Tennessee (OGJ Online, Mar. 6, 2012).

Spectra’s pipeline is scheduled to begin service 2015.

Contact Christopher Smith at chriss@ogjonline.com


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