Williams Cos. has yet to nail down a start date for the Louisiana Energy Gateway pipeline project, a month after the project’s completion date was set back from the fourth quarter of 2024.
The Louisiana Energy Gateway is designed to take natural gas from the Haynesville Shale in Arkansas, Louisiana and Texas to developing LNG export terminals on the Louisiana coast. When opened on its now expected completion date in 2025, the line will carry 1.8 Bcf/d.
Progress is still being made, said Williams CEO Alan Armstrong during a March 19 press conference at CERAWeek by S&P Global. The company has had to adjust its pipeline route plans following a dispute with Energy Transfer.
“We have pushed that back from a timing standpoint,” Armstrong said. “But we are pushing ahead and the project’s actually going fairly well.”
The delay can be traced to a dispute between Williams and Energy Transfer, which became public in mid-February. In the company’s investor conference call, Energy Transfer co-CEO Thomas Long noted that the company had been accused of stifling competition by refusing right-of-way access on three projects slated to cross the company’s pipelines.
Williams COO Michael Dunn said Energy Transfer was using its easements to block companies from their preferred pipeline pathways. Since then, Williams has adjusted its plans and remains optimistic the project will be completed.
“We've been able to reroute around some of those hurdles,” Armstrong said. “And so we are pushing ahead.”
Recommended Reading
Permian Activity in ‘Low-to-no-growth’ Mode for First Half
2024-02-22 - After multiple M&A moves in 2023 and continued E&P adherence to capital discipline, Permian Basin service company ProPetro sees the play holding steady.
Kimmeridge-SilverBow Public Feud Gets Ugly as Firm Suggests New Directors
2024-04-01 - Kimmeridge Energy Management said in a letter that should SilverBow continue to “stonewall” consideration of a merger offer, shareholders should elect three new independent board members.
SLB to Buy Service Firm ChampionX in $7.7B All-stock Deal
2024-04-02 - SLB will acquire ChampionX for $7.74 billion in an all-stock deal that puts a 14.6% premium on ChampionX’s April 1 closing price.
Continental Resources Makes $1B in M&A Moves—But Where?
2024-02-26 - Continental Resources added acreage in Oklahoma’s Anadarko Basin, but precisely where else it bought and sold is a little more complicated.
EQT Deal to ‘Vertically Integrate’ Equitrans Faces Steep Challenges
2024-03-11 - EQT Corp. plans to acquire Equitrans Midstream with $5.5 billion equity, but will assume debt of $7.6 billion or more in the process, while likely facing intense regulatory scrutiny.