New England gas line pursues expansions

Portland Natural Gas Transmission System (PNGTS) is pursuing a secondary expansion of its system in its aim to boost its total flows by 70pc.

The pipeline is already in the US Federal Energy Regulatory Commission application process for its 24.4mn cf/d (689,813 m³/d) Portland Xpress project, which received a positive environmental review in December. PNGTS parent company, Calgary-based TC Pipelines, today said it will also pursue a $100mn expansion called Westbrook XPress to boost flows from the Western Canadian Sedimentary Basin east and into the US by 102mn cf/d through additional compression at an existing facility. The project will be phased in over a three-year period with an in-service date of November 2021.

The project would join Portland XPress to expand capacity on PNGTS to a total of 338mn cf/d. Portland XPress is scheduled to begin flowing in November 2020.

PNGTS' parent company TC Pipelines said the project is underpinned by long-term contracts and is indicative of the market's need for firm transportation capacity in New England and eastern Canada.

Spot natural gas prices often spike in New England because of high demand there during times of cold weather. The few natural gas pipelines operating in the region are often constrained, but robust public opposition to greenfield pipeline construction has kept larger expansions from developing there to meet demand.

Prices on one major pipeline in the region, Tennessee Gas pipeline, soared to a record high above $90/mmBtu last year at the 200 Line in zone 6 amid extremely cold weather and pipeline constraints.