Commonwealth Pipeline Open Season Exceeds Expectations
Inergy Midstream, UGI Energy and Capitol Energy Ventures are partnering to build a new 200-mile natural gas pipeline from Lycoming County, PA all the way to Rockville, MD (see this MDN story). Called the Commonwealth Pipeline, the new $1 billion pipeline will connect with several major interstate pipelines along its route.
Yesterday, Inergy et al reported that their non-binding open season to sign up customers to use the pipeline went better than expected. From the Inergy press release:
Inergy Midstream, L.P.; UGI Energy Services, Inc., a wholly owned subsidiary of UGI Corporation; and Capitol Energy Ventures Corp., a wholly owned subsidiary of WGL Holdings, Inc., today announced that the results of the non-binding open season held for the Commonwealth Pipeline project ("Commonwealth" or the "Project") confirmed a high market demand for the Project and exceeded the sponsors’ expectations. The results indicate demand for the Project across a broad customer spectrum (including local distribution companies, electric generators, producers, and marketers) and a broad geographic region including existing and growth markets in Pennsylvania, the Mid-Atlantic and Southeast. Project representatives will be working with prospective shippers over the next several weeks to finalize design and route selection and to negotiate binding precedent agreements that will economically support the Project’s construction.
Commonwealth is a proposed 30"-36" diameter interstate natural gas pipeline designed to provide a direct and flexible path for bringing natural gas produced in the Marcellus and Utica Shale plays in Pennsylvania and neighboring states to growing natural gas markets in central and eastern Pennsylvania; the metropolitan areas of Philadelphia, Baltimore, and Washington, D.C.; and the Delmarva Peninsula.
All three sponsors expressed thanks to those who responded to the open season and to others who provided valuable input during initial discussions. For shippers interested in capacity on the Commonwealth Pipeline, contact David Hooker at (816) 714-5494 or by email at [email protected].*
*Inergy Midstream (Jun 18, 2012) – The Sponsors of the Commonwealth Pipeline Announce Positive Response to Open Season