Williams' Transco Pipeline Delivers Record Volumes in Early January
OREANDA-NEWS. Williams (NYSE: WMB) announced that it delivered a record amount of natural gas on its Transco interstate gas pipeline to meet demand driven by recent cold weather in markets on the U.S. Eastern Seaboard. Two recently completed expansions of Transco, totaling 315,000 dekatherms per day (dth/d) of natural gas transportation capacity, contributed to the volume record in early January.
The nation's largest-volume natural gas transmission system, Transco delivered a record-breaking 12.6 million dekatherms (MMdt) on Jan. 7 for its Zones 4-6 market area stretching from Mississippi to New York City. The new peak-day mark surpasses the previous high of 11.9 MMdt set on Jan. 7, 2014. Transco also set a three-day market area delivery record Jan. 7-9, averaging 12.2 MMdt. The Jan. 7, 2015 record volume represents enough gas to heat about 50 million U.S. homes.
In addition this year, total peak-day deliveries across the entire Transco system stretching from South Texas to New York City totaled 13.4 MMdt on Jan. 7. Williams expects deliveries to increase substantially in the coming years as additional planned Transco projects go into service.
"We fully expected to hit another record this year because natural gas demand for home heating and power generation continues to grow in new markets," said Frank Ferazzi, vice president & general manager of Williams' Transco pipeline. "In anticipation of this steady demand growth, we are continually expanding our Transco system to serve the fastest growing markets in the country in the Northeast and along the Eastern Seaboard."
On Dec. 1, 2014, portions of two Transco expansions were placed into service, contributing to this year's record. The projects included modifications to Transco's mainline as part of the Virginia Southside Expansion (250,000 dth/d) and a portion of the Northeast Connector (65,000 dth/d).
Since 2003, the company has placed into service 22 Transco growth projects, which have increased the system capacity by 3.5 Bcf/d or about 53 percent. To meet future demand for firm natural gas transportation capacity, Williams has previously announced approximately USD 4.4 billion of Transco growth projects that are expected to be placed into service between 2015 and 2017. The expansions, which consist of 12 projects in seven eastern states, are designed to serve customers' demand for power generation, industries and local distribution.
The Transco pipeline is a 10,200-mile pipeline system that transports natural gas to markets throughout the northeastern and southeastern United States. Transco is a wholly owned subsidiary of Williams Partners L.P. (NYSE: WPZ), of which Williams owns controlling interests and is the general partner.
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