PennEast Amends PennEast Pipeline Project

Map Courtesy Of PennEast Pipeline Co.

PennEast Pipeline Co. (PennEast) has applied to the US Federal Energy Regulatory Commission (FERC) to amend its PennEast Pipeline Project. Originally submitted in September 2015, the project received a favorable Environment Impact Statement (in April 2017, before hitting delays in obtaining certain New Jersey governmental authorizations and in acquiring certain property rights for the proposed facilities.

PennEast was authorized to construct and operate a 120-mi. (164-km) greenfield pipeline to provide 1.1 million dekatherms per day of year-round natural gas transportation service from northern Pennsylvania to markets in eastern and southeastern Pennsylvania, New Jersey, and surrounding states. The 120 miles would consist of 116 mi. (186 km) of 36-in. (914-mm) diameter pipeline as well as three laterals totaling 4 mi. (6 km), and one new compressor station in Carbon County, Pennsylvania, USA.

The new 2020 amendment would allow PennEast to construct and operate the project in two phases. The facilities located in Pennsylvania through milepost (MP) 68 of the Certificated Route, including two 15,900 hp (11,861 kW) gas turbine-driven Solar Mars 100 compressor units at the Kidder Compressor Station (Kidder CS) with software controls to limit total horsepower from these combined units to approximately 17,700 hp (13,204 kW), a metering and regulation station at the PennEast mainline with two separate interconnections and measurement facilities, including appurtenant facilities for both such interconnects, are included as part of Phase 1, which is independent of the New Jersey authorizations.

Phase 2 will consist of the proposed facilities located downstream of MP 68, including facilities located in New Jersey, as well as the third Solar Mars 100 compressor unit at the Kidder CS and the removal of the software controls on the first two compressors, allowing 47,700 hp from the combined units.

According to PennEast, it has executed precedent agreements with four shippers for approximately 340,000 dekatherms per day of capacity for long-term, firm transportation service as part of the Phase 1 service. These service commitments are not dependent on the construction of the Phase 2 facilities and will remain in effect if the Phase 2 facilities are not ultimately constructed. Phase 1 is a stand-alone project and is not dependent on the construction of Phase 2.

PennEast anticipates placing the Phase 1 facilities into service on November 1, 2021, instead of the original projected in-service date of November 1, 2017, and to construct Phase 2 facilities upon receipt of the New Jersey authorizations.