One Step Closer to Thousands of Jobs

There is no other company on this continent that can match the connectivity TransCanada has forged in its natural gas pipelines business – including an important link to the fastest growing natural gas supply basins.

Earlier this month that link became even stronger, as Columbia’s proposed Leach XPress Project (LXP) spanning Ohio and West Virginia was issued the final Environmental Impact Statement (EIS) from the Federal Energy Regulatory Commission (FERC). TransCanada will implement mitigations and the additional measures recommended by FERC staff, and if approved, project construction can begin pending receipt of the necessary permits.

The roughly $1.4 billion LXP investment will enable the safe transport of approximately 1.5 billion cubic feet of natural gas from the heart of the Appalachian supply basin to natural gas consumers served by the Columbia Gas and Columbia Gulf pipeline systems, supplying the region with domestic, clean-burning natural gas for generations to come.

Widely supported in Ohio

LXP is widely supported in the state of Ohio, including by U.S. Senator Rob Portman (R-OH), who has publicly praised LXP’s outreach efforts.

“The project is expected to create (thousands of) jobs, which is a big deal in southeast Ohio,” said Portman.

In total, 5,652 jobs will be created or supported through LXP.

“My job, as I see it, is to make sure (Columbia is) doing the right thing, and at this point I believe they are….”

Moving trapped shale gas to high-value markets

Additionally, the final EIS includes Rayne XPress (RXP), which primarily involves the addition of compression to Columbia Gulf’s existing pipeline facilities to provide transportation of over 1.0 Bcf/d for the project shippers.

The project will provide additional capability for shippers to efficiently transport Appalachian production to markets via Columbia Gulf, which spans a corridor stretching from the U.S. Gulf Coast to Appalachia.

“I would like to commend everyone on the Leach XPress and Rayne XPress teams for moving these projects one step closer to construction,” said TransCanada Senior Vice President for U.S. Natural Gas Pipelines Stan Chapman.

“Projects like these are critical to natural gas producers and the industry as a whole as they create new capacity to move trapped shale gas to high-value markets.”

Both projects are expected to begin construction in the fourth quarter of 2016, with a targeted in-service date of November 1, 2017.

With Columbia’s assets – including this one – TransCanada has assumed control of $7 billion of expansion projects, as interest from producers and Local Distribution Companies (LDC) for natural gas infrastructure reach record levels.

Advancing $25 billion in projects

Combined, TransCanada is now advancing $25 billion in secured, near-term growth projects that will enter into service beginning this year.

TransCanada’s existing North American footprint includes a 91,000-kilometre (57,000-mile) natural gas pipeline system connecting the most prolific supply basins to premium markets across the continent.

The company can now transport natural gas to both the west and east coasts of North America, the Gulf coast and can even facilitate the movement of northern produced natural gas into central Mexico.

Related links:

TransCanada-Columbia deal a game changer
TransCanada: Our Business at a Glance fact sheet