Marcellus Resources Pipeline to Gulf Coast
The volume of natural gas liquids in the Northeast is expected to exceed 1.2 million barrels per day by 2020. A pair of energy companies has announced a joint venture to transport natural gas liquids from the Marcellus regions to processing facilities in Texas and Louisiana.
Boardwalk Pipeline Partners LP, and the energy infrastructure firm Williams plan to upgrade existing pathways and build a new “Bluegrass Pipeline”, which could transport up to 400,000 barrels of the natural gas liquids per day.
The company said exact locations have not yet been determined.
The plan awaits approvals from the companies’ boards and from regulators, which the firms hope to have sometime this year so the project can be put into service by the second half of 2015.
This agreement is the latest attempt to break Appalachia’s bottleneck of oil and gas resources.
At PA Oil & Gas Report, we have noticed that many landowners are disappointed with the situation that the “bottleneck” has created: a slowdown of leasing, drilling, and ultimately royalty income. Additional pipeline projects such as this one will hopefully ease the bottleneck and supercharge the local industry moving forward, resulting in more income for landowners from lease bonuses and royalty payments.
