CPG Gains Momentum on Marcellus, Utica Infrastructure Projects

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Columbia Pipeline Group Inc.  (CPG) announced board of directors’ approval of a combined future investment of $2.7 billion in new infrastructure projects to support the continued development of gas supplies in the Marcellus and Utica shale regions. The Mountaineer XPress (MXP) and Gulf XPress (GXP) projects will provide 2.7 Bcf/d of firm transportation from Marcellus and Utica production areas to markets served by the Columbia Gas Transmission and Columbia Gulf Transmission systems. These projects are supported by long-term, firm transportation contracts with a variety of Marcellus and Utica producers and shippers.
  As production volumes continue to grow in the Marcellus and emerging Utica shale plays, CPG has been working closely with natural gas producers to provide new transportation options to move gas out of the capacity-constrained supply basin and into the interstate market. MXP, which will include an approximately 165 mile new pipeline, as well as the expansion of Columbia Transmission’s existing WB Line, will create approximately 2.7 Bcf/d of firm transportation capacity from existing and new points of receipt along or near Columbia Transmission’s system. MXP’s footprint will be in very close proximity and accessible to most of the Appalachian region’s third party processing plants, with deliveries to Columbia Transmission’s TCO Pool and Leach, KY to provide for higher regional netback value, liquidity and access to Gulf area markets.
  The second project announced, GXP, will include the installation of compression to existing and new stations along Columbia Gulf’s system, as well as provide limited pipeline looping, system modifications and related facilities.  GXP will provide approximately 860,000 Dth/d of firm transportation capacity from Leach, KY to the Columbia Gulf Mainline Pool and other delivery points as far south as Rayne, LA.
  CPG has already begun extensive outreach to landowners and communities in areas where the projects will be constructed. Prior to construction, the projects will undergo comprehensive and transparent environmental reviews overseen by the Federal Energy Regulatory Commission. Throughout the review period, CPG’s project teams will continue to work closely with landowners, local officials and communities to provide up-to-date information and ensure community involvement in the process. CPG anticipates in-service dates during the fourth quarter of 2018.