FERC advances three gas pipeline projects
The US Federal Energy Commission (FERC) reaffirmed its approval of Transcontinental Gas Pipe Line Company LLC (Transco)’s $1.5 Southeast Supply Enhancement Project (SSEP) in mid-June after it adjusted its stance on rate treatment for the project and dismissed environmental concerns.
The order paves the way for Transco to proceed with the SSEP project, which involves 55 miles of 42-in. OD natural gas pipeline loops and 1.6 bcfd of capacity to the US Southeast. Transco, a subsidiary of the Williams Cos., can begin construction on the project, FERC ruled.
The commission reversed its earlier decision that all shippers should pay for the expansion, saying just the 12 contracting shippers, primarily utilities Duke Energy and Piedmont Natural Gas, should shoulder the cost of the line with a scheduled in-service date of late-2027. Transco successfully argued that the project is designed to serve the new shippers, not existing customers.
FERC also rejected arguments by a coalition of environmental groups, including the Southern Environmental Law Center and the Sierra Club, that SSEP would cause habitat fragmentation, harming wildlife.
By using an existing, pre-cleared right-of-way, Transco will mitigate environmental long-term damage through active restoration, FERC said. “Transco would restore...and retain all permanent rights-of-way as open land for the maintenance and operation of the pipeline,” FERC wrote in its June 18 order.
NGPL line to feed LNG projects
FERC also ruled that Kinder Morgan can put into service next month Phase II of the Natural Gas Pipeline Co. of America's (NGPL) $72-million Texas-Louisiana Expansion Project (TLEP). The project is 100% fully subscribed under long-term precedent agreements from anchor customers, Golden Pass LNG and Delfin LNG. The added compression allows NGPL to move eastbound volumes to feed the two export plants on the Texas and Louisiana Gulf Coast.
The overall project boosts NGPL's system capacity by 300,000 dekatherms/day by boosting horsepower at existing compressors rather than laying new mainline pipe. Phase I, which involved adding 3,200 hp at compressor station 302 in Montgomery Country, Tex., went into service in April 2025. Phase II adds 26,000 hp to CS 343 in Liberty County, Tex., and an additional 18,304 hp at station 302.
QatarEnergy owns a 70% controlling stake, while ExxonMobil owns the remaining 30% interest in the 2-bcfd Golden Pass plant in Sabine Pass, Tex. The companies formed the joint venture to switch the facility from an import terminal to an export hub.
The 1.8-bcf Delfin LNG is a deepwater offshore floating LNG export project 46 miles off the coast of Cameron County, Parish, La.
Appalachian Reliability Project helps Pa. producers
FERC also approved Eastern Gas Transmission and Storage’s $239 million Appalachian Reliability Project (ARP) to allow regional gas producers—primarily CNX Resources Corp.—to increase the volume of Western Pennsylvania natural gas they can transport.
While it involves just 3.9 miles of new 30-in. OD looping in Westmoreland County, Pa,, and three compressor station upgrades, the project adds 550,000 dekatherms/day of firm natural gas transport capacity. The pipeline terminates at and feeds into two major interstate hubs: the Texas Eastern Pipeline in Westmoreland County and the Rockies Express Pipeline in Monroe County, Ohio.
ARP’s slated in-service date is June 2028.
About the Author
Cathy Landry
Washington Correspondent
Cathy Landry has worked over 20 years as a journalist, including 17 years as an energy reporter with Platts News Service (now S&P Global) in Washington and London.
She has served as a wire-service reporter, general news and sports reporter for local newspapers and a feature writer for association and company publications.
Cathy has deep public policy experience, having worked 15 years in Washington energy circles.
She earned a master’s degree in government from The Johns Hopkins University and studied newspaper journalism and psychology at Syracuse University.