The Federal Energy Regulatory Commission voted in favor of two natural gas pipeline projects on Jan. 18, including a line that will support future power plant operations for the Tennessee Valley Authority (TVA), while the other allows Williams Cos. to expand capacity on its Transcontinental line.
The TVA needs a 32-mile natural gas pipeline to supply a planned power facility in Stewart County, Tennessee. The authority plans to replace the coal-powered Cumberland plant with two units. The first, a 1,450-MW unit, will go into operation by 2026, the second in 2026. The TVA had warned the FERC in a letter sent Jan. 3 that disapproval of the gas line would lead to keeping the Cumberland facility open past its planned retirement date.
Kinder Morgan subsidiary Tennessee Gas Pipeline is slated to build the project.
The Transcontinental line extends from Texas to New York. Williams plans to add 364,400 dekatherms per day of natural gas capacity for a portion of the line in Louisiana and Texas, according to the company’s filing with the FERC. The company has estimated the cost of the expansion at $91.8 million. The expansion “will support reliability and diversification of energy infrastructure along the Gulf Coast,” according to a statement on the company’s web site.
EOG Resources entered into a 15-year binding precedent agreement for all new capacity the project produces, according to Williams.
Both projects received protests from environmental groups.
The Southern Environmental Law Center, a legal advocacy organization based in the Southeast U.S., has filed two federal lawsuits against the TVA’s plan—a case against the pipeline’s permit and a case saying the TVA failed to study alternatives to gas-powered plants before moving forward.
The TVA said a delay would hurt the organization’s “ability to develop and implement a path to approximately 80% carbon reduction by 2035,” according to its filing with the FERC.
The Sierra Club has expressed opposition to the Williams project, filing a protest with the FERC in 2021, and has maintained in other comments filed with the commission that the project does not take into account the public’s interest against carbon emissions.
During the FERC’s Jan. 17 open session, FERC Commissioner Allison Clements repeated that the project did not prove that it would benefit the public and voted against approval.
FERC Chairman Willie Phillips said Williams’ contract with EOG proved that the project was needed and voted in favor, along with FERC Commissioner Mark Christie.
Recommended Reading
Seatrium Awarded Contract for FPSO Bound for Guyana’s Stabroek
2024-05-17 - The topsides fabrication and integration contract will be for the FPSO Jaguar, bound for the Whiptail Field in the Stabroek block offshore Guyana for Exxon Mobil.
Third Suriname Find for Petronas, Exxon Could Support 100,000 bbl/d FPSO
2024-05-17 - A recent find offshore Suriname in Block 52 by Petronas and Exxon Mobil could support a 100,000 bbl/d FPSO development, according to Wood Mackenzie.
US Drillers Add Oil, Gas Rigs for First Time in Four Weeks: Baker Hughes
2024-05-17 - The oil and gas rig count rose by one to 604 in the week to May 17.
BPX Looks to Ramp US Production Over 60% by 2030
2024-05-16 - BPX Energy is looking to boost its U.S. production over 60% by 2030 as it considers bringing online a fourth processing facility in the Permian by mid-year 2025, Clark Edwards, the company’s vice president of development, said during SUPER DUG in Fort Worth.
Empire Petroleum’s Williston Drilling Program Identifies New Zones
2024-05-16 - Empire Petroleum provided updates on its Williston Basin development drilling program in its first quarter 2024 earnings results.