American Midstream began a non-binding open season for a proposed 45-mile extension of the Magnolia Intrastate pipeline to transport up to 500,000 dekatherms per day of natural gas for delivery to a major interstate pipeline beginning in 2019. The open season ends April 11.
The proposed Magnolia Extension would connect to Tennessee Natural Gas Pipeline’s 500 Line, providing transportation under 20-year, firm transport agreements to Williams’ Transco pipeline through an existing interconnect. The proposed project would offer supply diversity to growing demand areas in the Southeast market, and specifically, address infrastructure constraints associated with the rapid development of natural gas from the Marcellus and Utica shale formations in the Appalachian Basin.
The anticipated in-service date for the extension is 2019.