US-based energy firm Hess Corp has signed a precedent agreement with Alliance for service on the proposed 80-mile lateral pipeline.
The pipeline will connect production from Hess’ gas processing facility in Tioga to the Alliance mainline near Sherwood for onward shipment to the Chicago market hub.
The initial design capacity of the pipeline is about 120,000mcf/d, and it can be expanded based on shipper demand, Alliance said.
The Tioga lateral project has a planned in-service date of July 2013, subject to regulatory and other required approvals.