NiSource Announces Gathering System Expansion

July 2012, Vol. 239 No. 7

PR Newswire reported that NiSource Gas Transmission & Storage's (NGT&S) Midstream Services has updated details on its western Pennsylvania natural gas pipeline project. Named the Big Pine Gathering System, the project includes the installation, refurbishment and operation of 70 miles of pipeline facilities in the hydrocarbon-rich western Pennsylvania shale production region, including Allegheny, Butler, Armstrong, Indiana and Westmoreland counties.

Anchored by a long-term gathering agreement with producer XTO Energy Inc., a subsidiary of ExxonMobil, the Big Pine Gathering System is expected to provide an initial capacity of 425 MMcf/d with interconnects to NGT&S' own Columbia Gas Transmission pipeline system, as well as Texas Eastern Transmission and Dominion Transmission. The NiSource Midstream team is talkings with additional producers in the area looking to secure long-term commitments.

The Big Pine Gathering System involves a $150 million investment in pipeline facilities. Stakeholder outreach has begun as well as preliminary preparation and right-of-way clearing. Construction is anticipated to begin in late summer, with an expected in-service date of December.