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ANR, Transco propose eastern U.S. gas line

March 3, 1997

Where ANR/Transco plans Eastern U.S. Gasoline [70209 bytes] Units of Coastal Corp.'s ANR Pipeline Co., Detroit, and Williams Cos.' Transcontinental Gas Pipe Line Corp., Houston, plan a 50-50 joint venture to link their pipeline systems to ease supply bottlenecks in the eastern U.S. The new venture, Independence Pipeline Co., will build and operate a gas pipeline connecting Canadian and midwestern U.S. supply basins with capacity-constrained eastern U.S. markets.

Where ANR/Transco plans Eastern U.S. Gasoline [70209 bytes]

Units of Coastal Corp.'s ANR Pipeline Co., Detroit, and Williams Cos.' Transcontinental Gas Pipe Line Corp., Houston, plan a 50-50 joint venture to link their pipeline systems to ease supply bottlenecks in the eastern U.S.

The new venture, Independence Pipeline Co., will build and operate a gas pipeline connecting Canadian and midwestern U.S. supply basins with capacity-constrained eastern U.S. markets.

The 370-mile, 30-in. Independence pipeline would connect ANR's existing compressor station at Defiance, Ohio, to Transco's facilities at Leidy, Pa., with interconnections along the way to many other pipelines serving the mid-Atlantic and Northeast.

Sponsors anticipate an initial capacity of as much as 900 MMcfd. The pipeline is expected to be in service in November 1999, pending regulatory approvals. Final corporate approvals of the plan also are required.

"The linkage of the ANR and Transco systems will provide gas producers and marketers with access to virtually every major market in the eastern half of the United States," said Jeffrey A. Connelly, Coastal Corp.'s senior vice-president for natural gas.

Cuba Wadlington, Jr., senior vice-president and general manager of Transco, added, "It will untie the supply bottlenecks we are seeing in the Midwest, giving producers, marketers, and local distribution companies more independence."

Sponsors plan to file an application with the Federal Energy Regulatory Commission sometime this spring and hope the project is approved by mid-1998. Shortly after the FERC filing, sponsors plan an open season to take bids for capacity.