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Transco's 180,000-Dth/d Garden State project gets FERC approval

FERC approved TranscontinentalGas Pipe Line Co. LLC's expansion project, which will deliver 180,000Dth/d of gas into New Jersey.

The April 7 FERC order granted authorization for the , whichwill provide firm transportation for NewJersey Resources Corp.'s NewJersey Natural Gas Co. Transco estimated the project will cost approximately$116 million.

The project will connect Transco's Station 210 Zone 6 Poolin Mercer County, N.J., to a new delivery point with New Jersey Natural Gas on anexisting Transco lateral in Burlington County, N.J. Construction for the projectwill take place in two phases, with the first phase expected to have an in-servicedate of Nov. 1, 2016. The first phase will provide 20,000 Dth/d and the second phasewill deliver another 160,000 Dth/d. The entire project is expected to be in serviceby August 2017.

The first phase will include construction and operation of anew meter and regulating station on Transco's Trenton Woodbury lateral, modificationsto a compressor unit at a compressor station in Mercer County, N.J.,and other improvements. The second phase will build a new compressor station andan associated electrical substation on the lateral, and improve two electric motordrives and associated compressor units at another compressor station.

Transco, a WilliamsPartners LP subsidiary, executed a binding precedent agreement withNew Jersey Natural Gas for 100% of the incremental firm transportation capacityof the Garden State expansion project. FERC considered the project to be a . It would increasecapacity to areas on the New Jersey coast that were hit by Hurricane Sandy.

The agreement between Transco and New Jersey Natural Gas willhave a primary term of 15 years. (CP15-89)