Hope Gas Moves to Put 1,000-Mile Pipeline Abandonment Plan on Hold

Hope Gas asked West Virginia regulators in April to pause review of its plan to abandon more than 1,000 miles of pipelines, citing an unfinished deal with Diversified Midstream and a pending base-rate case. Producers warned the move could restrict gas transport from the region.

(P&GJ) — Hope Gas asked the West Virginia Public Service Commission (PSC) in April to pause proceedings tied to its plan to abandon more than 1,000 miles of “Red Line” pipelines across 22 counties, according to The Dominion Post.

In March, the company proposed abandoning more than 1,000 miles of pipeline across over 20 West Virginia counties, drawing sharp criticism from local producers who warned the move could cut off access to critical infrastructure and threaten small well operations.

The company previously announced an agreement for Diversified Midstream to acquire the system but told regulators the deal was not yet finalized. Oil and gas producers voiced concerns that abandoning the network would cut off a critical outlet for moving gas from the region.

Hope also noted it planned to file a new base-rate case later that month and said the PSC should wait for that filing before making decisions. Earlier in February, regulators had ruled that about 479 farm-tap customers could be converted to propane or electricity, but only if the PSC approved the pipeline abandonment.

As reported by The Dominion Post, Hope argued that holding the proceedings in abeyance was in the best interest of all parties. The company also canceled planned town halls with affected customers until the PSC rules on its request.