Spectra Energy Corp’s East Tennessee Natural Gas (ETNG) pipeline has agreed to provide an additional 86 million cubic feet per day (Mmcf/d) of firm transportation capacity to Eastman Chemical Co.’s Kingsport, Tenn., facility over the next 25 years.
The projects, which have a combined capital cost of approximately $120 million, include modifying existing ETNG facilities and building a new 6.4-mile pipeline extension.
Coupled with Eastman’s current contracts, ETNG will provide 121 Mmcf/d of firm capacity to the Kingsport facility when the projects are completed.
“Our East Tennessee Natural Gas system is well positioned to safely and reliably deliver clean-burning natural gas to Eastman’s steam and electrical power generation facility, and these projects will provide Eastman with enhanced supply options as well as increased reliability,” said Patti Fitzpatrick, vice president, marketing for ETNG.
The first project, for service of 25 Mmcf/d, is expected to begin in November 2013. The Kingsport Expansion Project, to provide 61 Mmcf/d of additional capacity, is anticipated to be in service during the first quarter of 2015.