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Released June 12, 2023 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--Oil and gas pipeline developer Williams Companies Incorporated (NYSE:WMB) (Tulsa, Oklahoma) announced last week it has a pair of milestones on the horizon: Two natural gas pipeline developments in the U.S. Northeast and Louisiana are progressing on time and will be fully operational by the end of 2024, with one of the two partly operational by the end of this year. At the same time, one executive warned that the slow pace of gas-pipeline development in the U.S. is a "recipe for disaster." Industrial Info is tracking about $4.5 billion worth of active projects from Williams, nearly 60% of which are in Texas and Louisiana.
Click on the image at right for a graph detailing Williams' active projects, by project type.
At last week's Global Energy Transition 2023 conference, hosted by Reuters in New York City, Alan Armstrong, the chief executive officer of Williams, was optimistic about his own company's fortunes. Armstrong said the first phase of the Regional Energy Access (REA) Pipeline expansion in New Jersey, Pennsylvania and Maryland should be operational in the fourth quarter, providing about half of its planned 830 million standard cubic feet per day of natural gas from the Marcellus and Utica shale plays to customers. The second and final phase is on track to enter service toward the end of 2024, he added.
Industrial Info is tracking eight remaining projects attributed to the REA expansion, including a 22-mile, $58 million pipeline lateral from Luzerne County to Monroe County, Pennsylvania, and a 14-mile, $39 million pipeline loop within Monroe County, Pennsylvania. Both projects will connect Williams' Transcontinental Gas Pipe Line to customers in their areas, with construction set to begin in the first quarter and end in the fourth quarter of 2024.
Other projects in the REA expansion include a series of unit additions and replacements at existing compressor stations. Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Pipeline Project Database can read detailed reports on the lateral and loop, and can click here for a full list of detailed reports on remaining projects in the REA expansion.
Armstrong also said Williams is on track to complete the Louisiana Energy Gateway (LEG) project in Louisiana and Texas by the end of next year. LEG is designed to gather 1.8 billion standard cubic feet per day of natural gas from the Haynesville Shale for delivery to premium markets. Industrial Info is tracking three remaining projects attributed to LEG, including a 30-mile, $30 million pipeline in western Louisiana that will connect the Haynesville with Williams' Transcontinental Gas Pipe Line and Mainstay Pipeline System, as well as new compressor stations near DeRidder and Bethany, Louisiana. Subscribers can read detailed reports on the pipeline, DeRidder and Bethany projects.
LEG has been of particular interest to Williams and its investors, as it could provide producers in the Haynesville--which covers parts of Arkansas, Louisiana and Texas--with access to liquefied natural gas (LNG) export plants along the Texas and Louisiana Gulf Coast. Armstrong told conference attendees that many of the gas producers who use Williams' services are seeking stakes in the European and Asian markets, where he noted natural gas is selling for nearly US$8 per million British thermal units, compared with the US$2 Henry Hub benchmark in Louisiana.
Despite the good news for Williams, Armstrong warned conference attendees the buildout of U.S. natural gas infrastructure is lagging far behind demand for gas, which he noted has jumped 56% from 2010 to 2022 when including exports. Armstrong pointed to data from the U.S. Energy Information Administration (EIA) that showed U.S. pipeline capacity grew by only 27% in the same time frame, while storage delivery capacity grew only 12%. Armstrong noted that many parts of the industry continue to use decades-old infrastructure that urgently needs expansions or upgrades.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Subscribers can click here for a full list of reports for active or proposed projects from Williams.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
Click on the image at right for a graph detailing Williams' active projects, by project type.At last week's Global Energy Transition 2023 conference, hosted by Reuters in New York City, Alan Armstrong, the chief executive officer of Williams, was optimistic about his own company's fortunes. Armstrong said the first phase of the Regional Energy Access (REA) Pipeline expansion in New Jersey, Pennsylvania and Maryland should be operational in the fourth quarter, providing about half of its planned 830 million standard cubic feet per day of natural gas from the Marcellus and Utica shale plays to customers. The second and final phase is on track to enter service toward the end of 2024, he added.
Industrial Info is tracking eight remaining projects attributed to the REA expansion, including a 22-mile, $58 million pipeline lateral from Luzerne County to Monroe County, Pennsylvania, and a 14-mile, $39 million pipeline loop within Monroe County, Pennsylvania. Both projects will connect Williams' Transcontinental Gas Pipe Line to customers in their areas, with construction set to begin in the first quarter and end in the fourth quarter of 2024.
Other projects in the REA expansion include a series of unit additions and replacements at existing compressor stations. Subscribers to Industrial Info's Global Market Intelligence (GMI) Oil & Gas Pipeline Project Database can read detailed reports on the lateral and loop, and can click here for a full list of detailed reports on remaining projects in the REA expansion.
Armstrong also said Williams is on track to complete the Louisiana Energy Gateway (LEG) project in Louisiana and Texas by the end of next year. LEG is designed to gather 1.8 billion standard cubic feet per day of natural gas from the Haynesville Shale for delivery to premium markets. Industrial Info is tracking three remaining projects attributed to LEG, including a 30-mile, $30 million pipeline in western Louisiana that will connect the Haynesville with Williams' Transcontinental Gas Pipe Line and Mainstay Pipeline System, as well as new compressor stations near DeRidder and Bethany, Louisiana. Subscribers can read detailed reports on the pipeline, DeRidder and Bethany projects.
LEG has been of particular interest to Williams and its investors, as it could provide producers in the Haynesville--which covers parts of Arkansas, Louisiana and Texas--with access to liquefied natural gas (LNG) export plants along the Texas and Louisiana Gulf Coast. Armstrong told conference attendees that many of the gas producers who use Williams' services are seeking stakes in the European and Asian markets, where he noted natural gas is selling for nearly US$8 per million British thermal units, compared with the US$2 Henry Hub benchmark in Louisiana.
Despite the good news for Williams, Armstrong warned conference attendees the buildout of U.S. natural gas infrastructure is lagging far behind demand for gas, which he noted has jumped 56% from 2010 to 2022 when including exports. Armstrong pointed to data from the U.S. Energy Information Administration (EIA) that showed U.S. pipeline capacity grew by only 27% in the same time frame, while storage delivery capacity grew only 12%. Armstrong noted that many parts of the industry continue to use decades-old infrastructure that urgently needs expansions or upgrades.
Subscribers to Industrial Info's GMI Project Database can click here for a full list of detailed reports for projects mentioned in this article, and click here for a full list of related plant profiles.
Subscribers can click here for a full list of reports for active or proposed projects from Williams.
Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) platform helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 trillion (USD).
