Dominion Plans Facilities To Handle Marcellus Gas

June 2010 Vol. 237 No. 6

Dominion has plans to gather, process and transport the growing volumes of high-Btu (wet) Marcellus natural gas production in Marshall and Wetzel counties, WV and surrounding counties in West Virginia, Pennsylvania and Ohio.

Dominion Transmission’s Marcellus 404 Project is designed to provide firm and interruptible transportation as well as gathering and processing services for up to 300,000 Mcf/d of natural gas. Fractionation capacity for 32,000 bpd of natural gas liquids will be available. Plans call for locating new processing and fractionation facilities in north-central West Virginia. Once processed, the natural gas can be delivered into Dominion Transmission’s system or into one of several other natural gas outlets in the vicinity of Clarington, OH.

Dominion will request authorization to convert a transmission line in Ohio and West Virginia, TL-404, into a wet gas service line. Producers may connect directly to TL-404 or request that Dominion construct additional gathering facilities to allow delivery of their production to TL-404.

The project will be phased in, providing 45,000 Mcf/d of service initially and ultimately expanded to 300,000 Mcf/d. Initial service will be available one year after receipt of adequate support for the project. Processing and fractionation will be phased in to correspond with producer needs.

Rates for transportation, gathering, processing and fractionation will be determined by the facilities required to support the requested service. Natural gas liquids fractionated at the new plant will be sold by Dominion with net proceeds returned to the producers delivering wet gas to Dominion or to those providing liquids for fractionation.

Once market commitment sufficient to support the project investment is obtained, Dominion will begin finalizing the project design and negotiating agreements. For information, contact Jeff Keister at (804) 771-4459 or Ron Ridgway at (304) 627-3207.

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