EQT Sells WV Pipeline Gathering System to Itself for $1B
We’re always somewhat amused by these stories. Sometimes a company will spin off a division into its own company–a subsidiary–and later transfer or “sell” certain assets to the subsidiary. On paper the subsidiary is its own company with its own set of investors, its own board, and its own management. But the primary investor with controlling interest remains the mother company. For all practical purposes, the subsidiary IS the same company as the mother company. Midstream companies tend to do this with some regularity. Back in 2012 we noted that Kinder Morgan did it (see Kinder Morgan Sells Tennessee Pipeline to Itself). This week it’s EQT–selling its Northern West Virginia Marcellus Gathering System, along with a “preferred interest” in another EQT subsidiary, for $1.05 billion to the company’s pipeline subsidiary, EQT Midstream Partners…
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By most measures, Dominion Transmission’s New Market Project is a fairly dull $159 million capacity upgrade to an existing natural gas pipeline which runs across upstate New York from the PA line, west of Horseheads, northeasterly to the state’s Capital Region (see the map below). We are now about a month away from the originally forecast April 2015 date when Dominion thought it might get a green light from FERC, the Federal Energy Regulatory Commission (Docket Number CP14-497). September 2015 was originally forecast for beginning construction (280 jobs, all temporary, as are all construction jobs), while November 2016 was the target in-service date (adding 10 to 12 permanent jobs, running forward)…
New applications filed Feb. 20 and 27 with the New York State Public Service Commission show that built-up areas of Windsor, NY (Broome County) are in line to be the first in a sequence of small town conversions to natural gas previously announced by Leatherstocking Gas Company, LLC. Assuming the Windsor application doesn’t hit any hitches with the state, Leatherstocking’s target date for installation is Fall 2015, according to Town Supervisor Carolyn Price. “It’s one of the most frequently asked questions I get,” Price told MDN Monday morning. “When am I going to get natural gas?” Price also said a number of Windsor residents, while they wait, have needed to replace furnaces, and they’ve been installing propane-fueled burners–because those are reported to be more easily switched over to natural gas, down the road…