Tennessee Gas Pipeline can build a new gas line segment and other facilities to add 250,000 Dt/day of transportation capacity from the Marcellus Shale to the Northeast region, the US Federal Energy Regulatory Commission said Thursday.
The Northeast Supply Diversification Project includes a 6.77-mile, 30-inch-diameter pipeline loop in northeastern Pennsylvania, improvements to a compressor station in Niagara County, New York, improvements to a meter station in Erie County, New York and installation of several other facilities in New York and Pennsylvania.
In its November 12 application, Tennessee said the project would "assist with the commission's goal of providing more natural gas to markets by providing access to natural gas supplies in the Marcellus Shale supply area, with deliveries to the project's delivery points at Niagara River, New York and at Mendon, Massachusetts."
Three customers have signed binding agreements for all firm capacity that will be created by the project, the pipeline said. It plans to start operations on November 1, 2012.
The commission also authorized Dominion Transmission to build a related project that will allow it to lease 150,000 Dt/d of firm capacity to Tennessee to help it carry out customer agreements for the Marcellus project.
The Dominion project will move gas from Tennessee's 300 Line to its 200 Line and includes transmission, compression, gas measurement and pressure-regulating facilities in Wyoming and Livingston Counties, New York and Potter County, Pennsylvania.