Report Volume XXVIII, Number 24 August 15, 2017

August 10, 2017

INDUSTRY NEWS (Washington, D.C.) – Before leaving town, the U.S. Senate handed President Donald Trump and the oil industry two long-sought regulatory appointments that could expedite construction of natural gas pipelines nationwide.

Since February, the Federal Energy Regulatory Commission has lacked a quorum to decide on new projects, frustrating the oil and gas industry, which lobbied Trump and the Senate to fill vacant seats. Just before its August recess, the Senate delivered, approving the nominations of Republicans Neil Chatterjee and Robert Powelson to serve on the commission, commonly known as FERC.

Energy lobbyists were giddy following the vote, optimistic the commission will quickly act on a backlog of multibillion-dollar gas pipelines proposed in states such as Ohio, Pennsylvania, the Virginias and North Carolina.

“The long day’s journey into night for energy infrastructure is over,” said Scott Segal, director of the Electric Reliability Coordinating Council, a coalition of energy industries. With FERC’s quorum restored, “It will be time to get back to work!” he added.

These are boom times for pipeline developers, partly because of the huge volumes of natural gas being fracked from the Marcellus Shale of West Virginia, Ohio and Pennsylvania. Supporters say this fracking could boost production of gas-fired electricity, bringing down prices and allowing utilities to switch from coal to a cleaner-burning fuel.



INDUSTRY NEWS (Houston, TX)ANR Pipeline Co. has received FERC approval to proceed with the permitting process for its planned Wisconsin South Expansion Project. In April, FERC granted a favorable Environmental Impact Statement, clearing the way for ANR to move forward in its bid to expand delivery by 230,950 dekatherms per day into the Northern Illinois and Wisconsin, USA, market areas to meet growing natural gas demand.

The project consists of the modification of the following facilities: Install one new 6130-hp (4573-kW) Solar Centaur 50 compressor unit at the existing Sandwich Compressor Station in Kendall County, Illinois; increase capacity of the existing Hampshire Meter Station in Kane County, Illinois from the current 304,475 dekatherms per day to approximately 507,458 dekatherms per day; replace the existing Line 332 Lateral located in Kane County, Illinois; increase capacity of the existing Tiffany East Meter Station in Rock County, Wisconsin from the current 119,760 dekatherms per day to approximately 240,535 dekatherms per day; and re-stage an existing Saturn 10 turbine compressor unit at the Kewaskum Compressor Station in Sheboygan County, Wisconsin.

ANR proposes to begin construction activities in the fourth quarter of 2017, with a projected in-service date of November 2018.



INDUSTRY NEWS (Houston, TX) Permico Energia plans to build a 510 mile (821km) pipeline from the Permian basin in west Texas to a new fractionator it will build near Corpus Christi, according to information obtained on Friday.

The pipeline, called Companero, will have an initial capacity of 300,000 bbl/day of natural gas liquids (NGLs), said Permico, a US-based midstream company.

The fractionator, called El Centro, will have a capacity of 300,000 bbl/day, Permico said.

Another pipeline will lead from the new fractionator and terminate at the US NGL hub in Mont Belvieu, Texas, Permico said. It will have a length of 230 miles, have a capacity of 250,000 bbl/day and have ethane and propane service.

The fractionator will have yet another pipeline, called Markham, that will have a length of 116 miles, have a capacity of 175,000 bbl/day and have ethane, propane and y-grade service, Permico said. This pipeline will terminate at the Markham storage facility.

Construction will start in the second quarter of 2018, and operations should start in the fourth quarter of 2020, the company said.



INDUSTRY NEWS (Martinsburg, WV) – Mountaineer Gas executives outlined plans for the companies $30 million natural gas pipeline project to run from Berkeley Springs in Morgan County to Martinsburg in Berkeley County that would more than double its natural gas output in the area at the Berkeley County Economic Development Authority meeting on Wednesday.

Construction of the 22. 5 mile pipeline — the first phase in a projected three phase pipeline project — is scheduled to start in the first quarter of 2018 and be completed by year end, or first quarter 2019, said Mountaineer Gas senior vice president and chief administrative officer Moses Skaff, who gave a project overview to the BCDA.

The second phase would expand the pipeline from Martinsburg down through Kearnseyville to Charles Town, Skaff said. A third phase would extend a pipeline from Martinsburg west over to Route 34.

The second phase of the project would run a 29-mile line extension from Martinsburg through Jefferson County to Charles Town and Ranson, Middleway and Shepherdstown.

The state Public Service Commission has granted approval for the first phase of the pipeline project. Mountaineer must re-apply to the commission for approval for both phase two and three.

Mountaineer’s pipeline in Morgan County will hook up a line from TransCanada, the gas company constructing a 3.5 mile stretch of pipeline that will be built 100 feet under the Potomac River from Maryland to West Virginia.

Industry News, Reports

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