Williams Cos. Inc.’s third-quarter 2023 net income rose 10% year-on-year, reaching $654 million. Williams ascribed the improved earnings to a $130-million gain from sale of its 270-mile Bayou Ethane Pipeline system and higher service revenues driven by recent acquisitions and increased volumes and rates on its Northeast Gathering & Processing unit.
Bayou Ethane uses 6- to 12-in. OD pipe to ship the liquid from multiple third-party fractionation and storage sites in Mont Belvieu, Tex., to Nova Chemicals Corp.’s 1.8-billion lb/year Geismar, La., ethylene plant, also previously owned by Williams. Williams said it will use proceeds from Bayou Ethane’s sale to strengthen its position in the Denver-Julesburg (DJ) basin.
The company placed Phase 1 of Transcontinental Gas Pipe Line Corp.’s (Transco) 829-MMcfd Regional Energy Access expansion project into service and advanced an additional 2 bcfd of Transco expansion for completion by end-2025. It also signed precedent agreements for Transco’s 1.4-bcfd Southeast Supply Enhancement.
Williams completed integration of MountainWest Pipelines Holding Co.’s 2,000-mile system into its operations in third-quarter 2023, completing a process begun with its acquisition early in the year. The company also completed an anchor-shipper precedent agreement for the system’s 113-MMcfd Uinta basin expansion project. It expects the additional capacity to be available by July 1, 2024.