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Texas Eastern gets permission to start service on NJ lateral

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Texas Eastern gets permission to start service on NJ lateral

The Federal Energy Regulatory Commission on Dec. 21 granted Texas Eastern Transmission LP authorization to begin service on its 300,000-Dth/d natural gas lateral for a power plant and a refinery in New Jersey.

The Bayway lateral will allow Texas Eastern, a Spectra Energy Partners LP subsidiary, to deliver gas supplies to the Linden Cogeneration plant in Linden, N.J., and a Phillips 66 Co. refinery. The pipeline company has precedent agreements for all the firm transportation service with power plant operator Cogen Technologies Linden Venture LP and Phillips 66 for a primary term of 20 years. The estimated $30.9 million project in Union County, N.J., will provide 234,000 Dth/d to the cogeneration plant and the remaining 66,000 Dth/d to the refinery.

The in-service approval arrived before the original estimate for a project completion date of January 2018 in the project application. Texas Eastern applied for the project in June 2016 and received a certificate order from the commission July 3, 2017.

The project consists of about 2,300 feet of 24-inch-diameter lateral pipe. It will also include a metering and regulating station with two delivery points and related facilities. (FERC docket CP16-473)