Marcellus and Utica natural gas production is currently limited by pipeline takeaway capacity in the region. The U.S. Energy Information Administration (EIA) estimates that if all pipeline projects meet the scheduled service dates, more than 24 billion cubic feet per day (Bcf/d) of takeaway capacity will be online in 2018, up from the estimated 16.7 Bcf/d in 2017.
Four major interstate projects planned to be in service by the end of the year are the Columbia Pipeline Group (TCO), the Transcontinental Gas Pipeline (Transco), the Rover Pipeline, and the NEXUS Pipeline.
Columbia Pipeline Group – Leach Xpress started service January 1, 2018, taking 1.5 Bcf/d capacity from West Virginia and Ohio. Mountaineer Xpress will increase takeaway from West Virginia by an additional 2.7 Bcf/d the end of 2018. The WB Xpress project will increase mainline capacity east and west by 1.3 Bcf/d in late 2018.
Transcontinental Gas Pipeline will take over 3 Bcf/d out of Pennsylvania and West Virginia. The Atlantic Sunrise will provide 1.7 Bcf/d of bidirectional capacity. The first phase of the project was completed last year. The Mountain Valley Pipeline will add 2 Bcf/d of new pipeline form West Virginia and the Equitrans Expansion project will bring 0.6 Bcf/d from northwest Pennsylvania to a connection with the Mountain Valley Pipeline. These projects are set to come online in 2018.
The Rover Pipeline is expected to complete the second phase of construction in mid-2018, bringing 3.25 Bdf/d of new capacity to Midwestern markets and to the Dawn hub in Ontario.
The NEXUS Pipeline will add 1.5 Bcf/d of new takeaway capacity to Midwestern markets. The Appalachian Lease Project is set to carry an additional 0.95 Bcf/d to the NEXUS this year as well.
The EIA tracking information was compiled from trade press, pipeline company websites, and the Federal Energy Regulatory Commission (FERC) on planned pipeline construction. It can be found on EIA's website.