TransCanada's Leach Xpress Natgas Pipeline Up and Running, More on the Way

Researched by Industrial Info Resources (Sugar Land, Texas)--TransCanada Corporation's (NYSE:TRP) (Calgary, Alberta) Leach Xpress natural gas pipeline is now in service, according to the company, which also reported progress this week on Mountaineer XPress and Gulf XPress pipelines. The projects will serve as links between natural gas supplies in Appalachia and U.S. markets.

The 160-mile Leach XPress project in Ohio, Pennsylvania and West Virginia began service on January 1, TransCanada said. The $1.6 billion pipeline can move about 1.5 billion cubic feet of natural gas a day (Bcf/d).

"Via an existing interconnect with TransCanada's Columbia Gulf Transmission System and its Rayne XPress ... project, which was placed into service last November, [Leach XPress] will facilitate the delivery of up to an additional 1 Bcf/d to Southeast and Gulf Coast supply markets," TransCanada said in a statement. Construction on the project began earlier this year. Price Gregory International (Houston, Texas) is the general contractor. For more information, see Industrial Info's project reports on the Ohio, Pennsylvania and West Virginia sections of the pipeline.

The Federal Energy Regulatory Commission (FERC), meanwhile, has issued a certificate of public convenience and necessity for the Mountaineer XPress and Gulf XPress pipelines. The projects represent an infrastructure investment of $3.2 billion, TransCanada said in a press statement. Once it gets the remaining regulatory approvals, TransCanada said it plans to begin right-of-way preparation and construction activities on both projects, with an anticipated in-service date in late 2018. TransCanada Chief Executive Officer Russ Girling said in November that with a FERC quorum reinstated, the company hoped to have approval for the construction of the Mountaineer XPress and Gulf XPress projects in the fourth quarter of 2017. For related information, see November 10, 2017, article - TransCanada Expects Decision on Keystone XL by End of Month.

The Mountaineer XPress pipeline will deliver about 2.6 Bcf/d of gas to the TCO Appalachia Pool Hub and Leach markets on the Columbia Gas Transmission System through the construction of 170 miles of 36-inch pipeline, three new compressor stations and upgrades to three existing compressor stations. For more information, see Industrial Info's project report.

The Gulf XPress pipeline will move 0.8 Bcf/d to Southeast and Gulf Coast supply markets through the construction of seven compressor stations, and upgrades to one existing compressor station, along TransCanada's existing Columbia Gulf System. For more information, see Industrial Info's reports on the compressor station additions in Kentucky near Morehead, Edmonton and Grayson.

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