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Released November 01, 2016 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--The Williams Companies (NYSE:WMB) (Tulsa, Oklahoma) and its master limited partnership, Williams Partners LP (NYSE:WPZ) (Tulsa, Oklahoma), plan to benefit from six natural gas pipeline projects to be put into service in 2017, executives with the midstream companies said Monday. Industrial Info is tracking active Williams projects worth $2.98 billion.
Williams Companies Chief Executive Officer Alan Armstrong mentioned the projects during the company's earnings conference call. All of the projects are tied to Williams' 10,200-mile Transco pipeline system, which delivers natural gas from the Gulf Coast to 12 Southeast and Atlantic Seaboard states. "Getting all of this critical new midstream plays as well has us positioned for when this tremendous low-cost resource really comes on in the next couple of years, and we really do believe that the natural gas demand that we're seeing on the Transco system will call on these constrained supplies once the infrastructure that connects that comes online," Armstrong said.
The projects include:
However, year to date, Williams reported a net loss of $409 million, a $553 million negative swing from its results in the same three quarters of 2015.
Williams Partners reported $351 million in net income for the just-ended quarter, up from a $167 million loss in the same quarter a year earlier.
Williams Companies Chief Executive Officer Alan Armstrong mentioned the projects during the company's earnings conference call. All of the projects are tied to Williams' 10,200-mile Transco pipeline system, which delivers natural gas from the Gulf Coast to 12 Southeast and Atlantic Seaboard states. "Getting all of this critical new midstream plays as well has us positioned for when this tremendous low-cost resource really comes on in the next couple of years, and we really do believe that the natural gas demand that we're seeing on the Transco system will call on these constrained supplies once the infrastructure that connects that comes online," Armstrong said.
The projects include:
- Gulf Trace Expansion: An expansion of the Transco pipeline, the project will deliver gas to Williams' the Sabine Pass Liquefaction Facility 2 in Cameron Parish, Louisiana. It includes the installation of eight miles of new 36-inch concrete-coated pipe from the existing Transco pipeline in St. Helena Parish to the Sabine Pass Liquefaction Facility meter station. The project would also include two compressor stations, and modifications to the existing Transco mainline. For related information, see Industrial Info's project report.
- Hillabee Phase 1: The project is designed to expand the existing Transco pipeline's capacity in Alabama beginning in the second quarter of 2017, supplying gas to the proposed Sabal Trail pipeline. The Hillabee Expansion is designed to be constructed in three phases. For related information, see Industrial Info's project report.
- Virginia Southside Phase 2: The project would help provide natural gas for a 1,580-megawatt (MW) that Dominion Virginia Power plans to build in Greensville County, Virginia. For related information, see Industrial Info's project report.
- Garden State: The expansion of the Transco pipeline will provide additional service to New Jersey Natural Gas Company (NJNG), which will use the capacity under the project to access additional sources of natural gas to bolster system resiliency in the wake of Hurricane Sandy. For related information, see Industrial Info's project report.
- New York Bay: The expansion of the Transco pipeline will provide National Grid in New York City with natural gas in time for the 2017-2018 winter heating season. For related information, see Industrial Info's project report.
- Mainline portion of Atlantic Sunrise: Williams is pushing back full in-service operations of its Atlantic Sunrise natural gas pipeline to mid-2018 as a result of a delay in the completion of a federal review. However, Williams still plans to begin operations for the mainline portion of the nearly $3 billion expansion project during the second half of 2017. Williams had earlier sought to have the 187-mile pipeline in full service in late 2017. The pipeline will move natural gas from the Marcellus Shale in the Northeast U.S. to Mid-Atlantic and Southeastern markets by alleviating infrastructure bottlenecks in Pennsylvania. For related information, see Industrial Info's project report.
However, year to date, Williams reported a net loss of $409 million, a $553 million negative swing from its results in the same three quarters of 2015.
Williams Partners reported $351 million in net income for the just-ended quarter, up from a $167 million loss in the same quarter a year earlier.
