EIA , this industrial resurgence is expected to continue for at least the next two decades .
Creating the need for pipelines
The rapid growth in U . S . natural gas production has yielded an immediate need for additional pipeline infrastructure to connect emerging production basins with consuming markets .
In a 2016 study by energy analyst ICF International , it was estimated that at least 850 miles of new gas transmission lines would be needed in North America each year from 2011 through 2035 to meet the demands of rising shale production .
The jewel of America ’ s natural gas production is a shale formation in the eastern U . S . known as the Marcellus , one of the richest natural gas deposits in the world . The basin currently produces about 18 billion cubic feet of natural gas per day . By 2020 , the Marcellus is expected to produce about 25 billion cubic feet of natural gas per day , according to ICF .
The Commonwealth of Pennsylvania hosts much of this new production activity . It now accounts for about 20 percent of U . S . gas production , making it bigger than any state other than Texas . It has seen its gas output rocket from 0.5 billion cubic feet per day in 2006 to 14.5 billion cubic feet per day in 2016 .
Unfortunately , during that same time period , the amount of new pipeline capacity has been unable to keep up with the production boom .
In its 2016 Pipeline Infrastructure Task Force Report , the Pennsylvania Department of Environmental Protection estimated that 25-30 percent of wells drilled to date do not have access to pipeline takeaway capacity .
“ Drilling for natural gas in Pennsylvania has far outpaced the development of the infrastructure needed to get that gas to markets ,” the report notes . “ Almost a third of the wells that have been drilled in Pennsylvania since 2004 are shut in because the pipelines to move that gas from the well to end users have not caught up with the pace of drilling . So , the primary challenge the industry faces now is to get the gas around or out of Pennsylvania to connect it to customers .”
Williams operates more than 4,000 miles of natural gas gathering and transmission lines in Pennsylvania , including the Transco pipeline , the largest-volume transmission pipeline in the country . This massive 10,200-mile pipeline network features a mainline which extends nearly 1,800 miles along the East Coast linking South Texas and New York City , transporting about 12 percent of the natural gas consumed in the U . S .
Fortunately , Transco also operates more than 1,000 miles of transmission pipe in Pennsylvania , extending into the heart of the Marcellus .
“ When this segment of the Transco pipeline was constructed in Pennsylvania in the 1960s , its primary purpose was to provide our customers with access to underground storage in the western part of the state ,” said Rich Truxell , manager of Transco pipeline control . “ It was extremely fortuitous for us that one day , this segment of pipeline would become the focal point of this new , surging gas supply area .”
Atlantic Sunrise
In 2014 , Williams announced plans to significantly loosen the Pennsylvania pipeline bottleneck by expanding the Transco pipeline system through its $ 3 billion Atlantic Sunrise expansion project .
Approved by the Federal Energy Regulatory Commission ( FERC ) in February 2017 , Atlantic Sunrise is the largest expansion project in Transco ’ s history , extending and expanding the capacity of the existing pipeline network by approximately 1.7 billion cubic feet per day ( enough natural gas to provide service to approximately seven million homes ).
The project has been designed to extend the reach of Transco to northeast Pennsylvania to tap some of the most abundant supply areas in the state .
Source : EIA Continued on page 6
5
EIA, this industrial resurgence is expected to continue for at
least the next two decades.
Creating the need for pipelines
The rapid growth in U.S. natural gas production has yielded
an immediate need for additional pipeline infrastructure
to connect emerging production basins with consuming
markets.
In a 2016 study by energy analyst ICF International, it was
estimated that at least 850 miles of new gas transmission
lines would be needed in North America each year from 2011
through 2035 to meet the demands of rising shale production.
The jewel of America’s natural gas production is a shale
formation in the eastern U.S. known as the Marcellus, one
of the richest natural gas deposits in the world. The basin
currently produces about 18 billion cubic feet of natural gas
per day. By 2020, the Marcellus is expected to produce about
25 billion cubic feet of natural gas per day, according to ICF.
The Commonwealth of Pennsylvania hosts much of this new
production activity. It now accounts for about 20 percent of
U.S. gas production, making it bigger than any state other
than Texas. It has seen its gas output rocket from 0.5 billion
cubic feet per day in 2006 to 14.5 billion cubic feet per day
in 2016.
Unfortunately, during that same time period, the amount of
new pipeline capacity has been unable to keep up with the
production boom.
In its 2016 Pipeline Infrastructure Task Force Report, the
Pennsylvania Department of Environmental Protection
estimated that 25-30 percent of wells drilled to date do not
have access to pipeline takeaway capacity.
“Drilling for natural gas in Pennsylvania has far outpaced
the development of the infrastructure needed to get that gas
to markets,” the report notes. “Almost a third of the wells
that have been drilled in Pennsylvania since 2004 are shut in
because the pipelines to move that gas from the well to end
users have not caught up with the pace of drilling. So, the
primary challenge the industry faces now is to get the gas
around or out of Pennsylvania to connect it to customers.”
Williams operates more than 4,000 miles of natural gas
gathering and transmission lines in Pennsylvania, including
the Transco pipeline, the largest-volume transmission
pipeline in the country. This massive 10,200-mile pipeline
network features a mainline which extends nearly 1,800
miles along the East Coast linking South Texas and New
York City, transporting about 12 percent of the natural gas
consumed in the U.S.
Fortunately, Transco also operates more than 1,000 miles of
transmission pipe in Pennsylvania, extending into the heart
of the Marcellus.
“When this segment of the Transco pipeline was constructed
in Pennsylvania in the 1960s, its primary purpose was to
provide our customers with access to underground storage in
the western part of the state,” said Rich Truxell, manager of
Transco pipeline control. “It was extremely fortuitous for us
that one day, this segment of pipeline would become the focal
point of this new, surging gas supply area.”
Atlantic Sunrise
In 2014, Williams announced plans to significantly loosen
the Pennsylvania pipeline bottleneck by expanding the
Transco pipeline system through its $3 billion Atlantic
Sunrise expansion project.
Approved by the Federal Energy
Regulatory Commission (FERC)
in February 2017, Atlantic
Sunrise is the largest expansion
project in Transco’s history,
extending and expanding the
capacity of the existing pipeline
network by approximately
1.7 billion cubic feet per day
(enough natural gas to provide
service to approximately seven
million homes).
The project has been designed
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