Williams Partners has received approval from the Federal Energy Regulatory Commission (FERC) to expand Transco pipeline, designed primarily to serve Dominion Virginia Power's 1,358MW natural gas fuelled power station near Lawrenceville in Brunswick county.
Known as the Transco Virginia Southside Expansion, the approximately $300m project will include around 100 miles of new, 24-inch diameter pipeline extending from the Transco mainline in Pittsylvania county and into Halifax, Charlotte, Mecklenburg, and terminating in Brunswick county, Virginia.
The new project will provide 270,000 dekatherms per day (dth/d) of incremental transportation capacity in Virginia and North Carolina by September 2015. More than 90% of the expanded capacity will serve the Dominion plant, while the remaining will serve Piedmont Natural Gas's local-distribution business in North Carolina.
The expansion project is part of the company's $2.2bn of Transco growth projects, which are likely to be put into operations between 2013 and 2017 that will increase the Transco system capacity by more than 35%.
Under the expansion project, Transco plans to lay the new pipes parallel to its own existing pipeline, alongside the existing utility corridor, and add more than 21,000 horsepower of compression at Station 165 in Pittsylvania County, Virginia.
Williams Partners general partner CEO Alan Armstrong said the Transco expansions over the last decade provide an impressive track record of the company's ability to execute growth opportunities.
"Since 2003, we have invested nearly $2bn in 21 expansion projects that have increased Transco's transportation capacity by 55%," said Armstrong.
The existing 10,200-mile Transco pipeline system, extending from South Texas to New York City, reliably delivers natural gas to its customers.
The existing system's compressor stations help move gas from the Gulf Coast to 12 south-east and Atlantic Seaboard states, including major metropolitan areas in New York, New Jersey and Pennsylvania.
Having received approval from the Virginia State Corporation Commission in August 2013, Dominion Virginia Power started construction on the $1.3bn Brunswick county power station, and expects it to be operational in 2016.
The station will create 380 average workers annually during the construction period and will provide 43-full time, permanent jobs and pay around $4m annually in local property taxes over its operating life.