Spectra Energy Corporation’s non-binding open season for its Renaissance Gas Transmission project closes March 31. The pipeline system will link growing natural gas supplies to high-demand power generation and distribution markets in Georgia, Alabama and Tennessee.
The company executed a non-binding letter of intent with AGL Resources to explore a joint business arrangement and transportation service options for the local distribution companies owned by AGL Resources that operate near the proposed pipeline.
The new pipeline runs 230 miles in length and the projected capacity is 1.25 Bcf/d with an estimated in-service in late 2015.
Spectra expects natural gas demand in this region to significantly grow as power generators look to increase their use of existing facilities and site new gas-fired generation. The Renaissance project will support multiple service offerings to these generators, as well as local distribution companies and industrial users, by bringing high-pressure capabilities to serve the swing and hourly delivery requirements that these markets require.
Renaissance will commence at an interconnect with Spectra’s Texas Eastern Transmission. Texas Eastern is strategically positioned with existing connectivity through the Marcellus, Utica, Appalachian and other shale gas supply sources, creating a direct link from these basins to Renaissance. Texas Eastern offers additional supply options for Renaissance customers with its traditional access to Gulf of Mexico and Gulf Coast supply as well as its access to the Fayetteville, Haynesville, Woodford, Barnett and Eagle Ford shale plays.