Friday, January 30, 2009

Energy Transfer to build Tiger gas pipeline through Haynesville Shale

HOUSTON - Energy Transfer Partners LP said on Jan. 27 that it will build a 178-mile, 42-inch interstate natural gas pipeline from Texas to Louisiana through the heart of the Haynesville Shale.
The Tiger Pipeline is expected to cost between $1 and $1.2 billion to construct, depending upon final throughput capacity design, with costs incurred over a three-year period, the company said in a news release.
Initial capacity of at least 1.25 billion cubic feet per day may be increased up to two bcf per day based on the results of an open season, the company said.
Energy Transfer agreed to a 15-year firm transportation pact with Chesapeake Energy Corp unit Chesapeake Energy Marketing Inc. for approximately one bcf per day of capacity.
The project will connect to ETP's pipeline system near Carthage, Texas, extend through the Haynesville Shale and end near Delhi, La., interconnecting to at least seven interstate pipelines at various points in Louisiana.

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