KMP and Seneca Resources Enter Agreement to Support Niagara Expansion
HOUSTON -- December 17, 2013
Tennessee Gas Pipeline Company (TGP), a unit of Kinder Morgan Energy Partners,
L.P. (NYSE: KMP), has signed a binding, 15-year firm transportation precedent
agreement with Seneca Resources Corporation, the wholly owned exploration and
production subsidiary of National Fuel Gas Company (NYSE: NFG) to ship 158,000
dekatherms per day of natural gas to eastern Canadian markets on the Niagara
Expansion Project. Subject to regulatory approvals, the approximately $29
million Niagara Expansion Project is expected to begin service Nov. 1, 2015.
Seneca will serve as the foundation shipper for TGP’s Niagara Expansion
Project, which is designed to provide transportation from the prolific
Marcellus Shale in Pennsylvania to TGP’s interconnect with TransCanada
Pipeline in Niagara County, N.Y., to serve growing markets in eastern Canada.
TGP will provide for the expansion capacity through a combination of existing
capacity, pipeline looping, compressor station modifications and off-system
capacity on the interstate pipeline system of National Fuel Gas Supply
Corporation, also a wholly owned subsidiary of National Fuel.
“TGP is pleased to partner with Seneca, a leading producer of natural gas in
the Appalachian Region, on this strategic project,” said Natural Gas Pipelines
East Region President Kimberly S. Watson. “TGP’s unique footprint, connecting
key shale supply areas from the Marcellus, makes our Niagara Expansion Project
an ideal fit to serve the growing supply needs of eastern Canada.”
In November, 2012, TGP placed in service its Northeast Supply Diversification
Project under which it began exporting natural gas to Canada. “In addition to
strengthening TGP’s position as the premier pipeline in the Northeast, the
Niagara Expansion Project will provide TGP’s customers with increased market
diversity by increasing the transportation capacity between Marcellus supplies
and markets in eastern Canada,” Watson said.
Kinder Morgan Energy Partners, L.P. (NYSE: KMP) is a leading pipeline
transportation and energy storage company and one of the largest publicly
traded pipeline limited partnerships in America. It owns an interest in or
operates more than 54,000 miles of pipelines and 180 terminals. The general
partner of KMP is owned by Kinder Morgan, Inc. (NYSE: KMI). Kinder Morgan is
the largest midstream and the fourth largest energy company in North America
with a combined enterprise value of approximately $105 billion. It owns an
interest in or operates more than 82,000 miles of pipelines and 180 terminals.
Its pipelines transport natural gas, gasoline, crude oil, CO and other
products, and its terminals store petroleum products and chemicals and handle
such products as ethanol, coal, petroleum coke and steel. KMI owns the general
partner interests of KMP and El Paso Pipeline Partners, L.P. (NYSE: EPB),
along with limited partner interests in KMP and EPB and shares in Kinder
Morgan Management, LLC (NYSE: KMR). For more information please visit
This news release includes forward-looking statements. These forward-looking
statements are subject to risks and uncertainties and are based on the beliefs
and assumptions of management, based on information currently available to
them. Although Kinder Morgan believes that these forward-looking statements
are based on reasonable assumptions, it can give no assurance that such
assumptions will materialize. Important factors that could cause actual
results to differ materially from those in the forward-looking statements
herein include those enumerated in Kinder Morgan’s reports filed with the
Securities and Exchange Commission. Forward-looking statements speak only as
of the date they were made, and except to the extent required by law, Kinder
Morgan undertakes no obligation to update or review any forward-looking
statement because of new information, future events or other factors. Because
of these uncertainties, readers should not place undue reliance on these
Kinder Morgan Energy Partners, L.P.
Larry Pierce, (713) 369-9407
Press spacebar to pause and continue. Press esc to stop.