The Williams Companies has announced that the Federal Energy Regulatory Commission has issued to Northwest Pipeline, a subsidiary of Williams, a certificate approving construction and operation of a 24-inch diameter natural gas transmission pipeline in Colorado that will bring additional gas supplies from the Piceance Basin to Northwest’s on-system and off-system markets.
According to Williams, the new 27.4-mile pipeline and related facilities, known as the Colorado Hub Connection, will connect the Meeker/White River hub, a regional production area hub, with Northwest’s existing mainline system south of Rangely, Colorado.
The project will provide approximately 360,000 dekatherms per day of firm transportation service on Northwest’s mainline to delivery points south as Ignacio, Colorado. At Ignacio, Northwest interconnects with El Paso Natural Gas and Transwestern Pipeline Company.
Williams anticipates starting construction on the project in May 2009 and the pipeline is expected to be in-service by November 1, 2009. The estimated cost of the project is $60 million.
Phil Wright, president of Williams’s gas pipeline business, said: The Colorado Hub is a project that will allow Northwest to connect the Piceance Basin supplies with markets in the western US and to subscribe existing mainline capacity on a long-term basis.
