The US Federal Energy Regulatory Commission (FERC) has approved Williams’ $127m Rivervale South to Market project, an expansion of the existing Transco natural gas pipeline to deliver more natural gas to northeastern US.
Image: FERC approves Rivervale South to Market project. Photo: courtesy of Alexander Redmon/Freeimages.com.
In this regard, FERC has given a certificate of public convenience and necessity that authorizes construction of the Rivervale South to Market project in New Jersey. The project, in particular will meet the natural gas demand of customers in New Jersey and New York.
According to Williams, the Rivervale South to Market project would create 190,000 dekatherms per day of firm transportation capacity for the Transco pipeline in time for the 2019/2020 winter heating season. The additional pipeline capacity would result in enough natural gas supply to meet the daily requirements of about a million homes, said the midstream infrastructure company.
Williams chief operating officer Micheal Dunn said: “The demand for clean, reliable, and low-cost natural gas continues to climb, particularly in northeastern markets like New Jersey and New York City.
“The region has made tremendous strides in improving air quality due primarily to the conversion from fuel oil to natural gas. The Rivervale South to Market project will further propel this progress in a manner that minimizes environmental impacts by maximizing the use of our existing Transco infrastructure.”
The Rivervale South to Market pipeline project will involve uprating 16.65km of existing Transco pipeline, addition of a 0.98km pipeline loop and also upgrades and modifications to existing facilities.
Having secured all necessary regulatory approvals, Williams expects to begin construction on the Transco pipeline expansion project in early 2019.
The company has agreements in place with Direct Energy Business Marketing and UGI Energy Services for firm transportation service under the Rivervale South to Market pipeline project.
Last week, Williams completed the merger of Williams Partners with one of its subsidiaries by acquiring the stake it previously did not own in the latter. Following the merger, Williams Partners has ceased trading on the New York Stock Exchange.