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A $2 Billion Gas Pipe Is Rare Flashpoint on Friendly Texas Turf

  • Dispute puts ranchers at odds with anti-flaring activists
  • Lack of pipelines leading Permian producers to burn off gas

Photographer: Patrick Hamilton/Bloomberg  

A Kinder Morgan Inc.-led natural gas conduit is getting blowback in a place that’s so far been a refuge for the embattled pipeline industry: Texas. And it comes as drillers in the Lone Star state need pipeline space more than ever.

The $2 billion Permian Highway Pipeline would carry gas from America’s most prolific shale basin in West Texas to the Gulf Coast, helping to relieve bottlenecks that have led producers to burn off enough fuel to supply every home in Texas.