The developer of a 75-mile natural gas pipeline named MVP Southgate has dropped an eminent domain lawsuit seeking to seize dozens of tracts of land in North Carolina along its proposed route.
The project's developers voluntarily dismissed its eminent domain proceedings for land for the project through a filing in federal court on 20 October. The company said it was dropping the lawsuit out of a "desire to work cooperatively and in good faith" with landowners and communities along the proposed route.
"Though MVP is dismissing this action, it is doing so without prejudice because it has not abandoned this project," the filing said.
US midstream operator Equitrans Midstream, the lead developer of MVP Southgate, did not immediately respond to a request for comment.
MVP Southgate, if built, would extend the proposed $6.6bn Mountain Valley Pipeline into North Carolina. The two pipelines have been held up by permitting lawsuits and opposition from local landowners, driving up project costs and leading to key missed deadlines.
Equitrans this summer said it was in talks with a key shipper regarding options for the $468mn Southgate project. The talks with utility company Dominion Energy North Carolina included the potential to refine "the project's design and timing in lieu of pursuing the project as originally contemplated," it said 2 August. Equitrans expects to spend less than $5mn related to the Southgate project this year.
Environmental groups said the dismissal of the eminent domain proceedings meant it was less likely the project would be completed as proposed. Critics of the project say it would increase air emissions and is not needed.
"Without this land, the Mountain Valley Southgate extension is unlikely to ever be built," the Sierra Club said. "Abandoning their efforts is a clear victory for communities working tirelessly to protect their health and homes."
