Friday, May 22, 2009

Williams Receives FERC Approval To Provide Additional Natural Gas Service To Southeast By 2010

Top Mining News : Tulsa, OK /PRNewswire-FirstCall/ — Williams (NYSE: WMB) announced today that that the Federal Energy Regulatory Commission (FERC) has approved a proposal to expand Williams’ Transco natural gas pipeline to serve markets in the southeastern United States.

New service from the Mobile Bay South project would be available in the second quarter of 2010. The project is designed to create 253,500 dekatherms of southbound, year-round firm transportation capacity on the Mobile Bay Lateral from Transco’s mainline at Station 85 near Butler, Ala., to its interconnect with Gulfstream Natural Gas System in Coden, Ala.

“We appreciate the efforts of the FERC and other state and federal agencies in reviewing this application,” said Phil Wright, president of Williams’ natural gas pipeline business.

“The Mobile Bay South project will enable us to provide firm southbound transportation service for growing domestic supplies from new pipeline interconnects at Station 85 to markets in Southwest Alabama and Florida, as well as third-party storage facilities, while maintaining the full capability of the lateral to supply our traditional customers through northbound service to Station 85.”

The Mobile Bay South project will require construction of a new 9,470 horsepower compressor facility at Station 85 in Choctaw County, Ala. Williams estimates that the project facilities will cost approximately $37 million. (More)

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