RICHMOND, Va., June 3, 2014 /PRNewswire/ -- Dominion (NYSE: D) yesterday asked the Federal Energy Regulatory Commission (FERC) to approve two projects that would provide additional natural gas supplies from the ever-growing production in the Appalachian Region.
The New Market project in upstate New York improves access for National Grid to meet its customers' growing demand for natural gas, while the Clarington project in West Virginia provides a secure and reliable route to transport growing gas supplies out of the Appalachian basin to market.
Dominion filed applications for Certificates of Public Convenience and Necessity with the FERC, the federal agency responsible for reviewing and authorizing interstate natural gas transmission projects. The approximate costs of these two projects are $235 million.
"We are pleased that we can support our customers' growing needs. Natural gas produced from the Marcellus and Utica shales in the Appalachian region of West Virginia and Ohio is expected to continue its strong and rapid growth," said Diane Leopold, president of Dominion Energy. "Our interstate pipeline system is uniquely positioned to transport Appalachian production as our pipelines traverse the area of significant supply growth. Additional firm transportation capacity for new natural gas supplies for both projects also will alleviate the possibility of shortages by providing more gas to market."New Market Project The New Market project would provide 112,000 dekatherms (Dth) per day of firm transportation service. Just more than 33,000 horsepower of compression would be added in upstate New York to Dominion Transmission's existing system. The project will improve access to natural gas to serve two National Grid subsidiaries, Niagara Mohawk and Brooklyn Union. If approved and the FERC issues the certificate in April 2015, construction would begin in late summer 2015 and the project would be placed into service by November 2016. The project includes:
- Two new compressor stations of approximately 11,000 horsepower each in Madison County, N.Y., and Chemung County, N.Y.
- Approximately 11,000 of additional horsepower of compression at Dominion's current Brookmans Corners Station in Montgomery County, N.Y.
- Upgrades at the existing Borger, Utica and Brookmans Corners stations
- The addition of two compressors totaling 10,000 horsepower at the existing Mullett Compressor Station in Monroe County, Ohio.
- Additional 6,000 horsepower of compression at existing Burch Ridge Compressor Station in Marshall County, W.Va.
- A new interconnection with CNX Gas Company near Lightburn, W.Va., to receive Appalachian gas and deliver it to Texas Eastern Transmission and Rockies Express Pipeline in Monroe County, Ohio.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV