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Despite ongoing dispute, Williams begins work on natural gas pipeline in Louisiana

Despite ongoing dispute, Williams begins work on natural gas pipeline in Louisiana

Williams Cos. notified the U.S. Federal Energy Regulatory Commission (FERC) that it “intends to proceed with construction of its 1.8 bcfd Louisiana Energy Gateway (LEG) natural gas pipeline.” The company said it plans to begin preparatory work along its route as early as July 25, 2024, and then proceed with construction.

Williams is moving forward with work despite pending rulings, saying it recently “won victories in certain right-of-way litigation with subsidiaries of Energy Transfer LP in Louisiana state courts involving proposed pipeline crossings for the LEG system.” The company said those victories, along with securing the necessary easements and federal permits, would allow it to proceed with work, adding that “without the crossing litigation with Energy Transfer, construction of the system would already be well underway.”

Energy Transfer’s legal counsel, in turn, described Williams as someone who “continues his efforts to circumvent (FERC’s) Natural Gas Act authority to review jurisdiction of the proposed Louisiana Energy Gateway project,” and pointed out that there are “serious questions (before the Commission) as to whether Williams’ LEG project is a transmission line subject to the Commission’s jurisdiction or whether it is a non-jurisdictional meeting.”

Energy Transfer’s attorney also pointed out inconsistencies between Williams’ testimony in Louisiana state court that LEG had already begun construction and his recent 6-day construction start date, asking, “Is Williams now misleading the Commission or has it misled the Louisiana courts?” The attorney’s letter to FERC ended with a suggestion that “the Commission should clarify the rules of the road and explain whether or not the Williams project is subject to FERC jurisdiction.”

Earlier this year, the Louisiana Second District Court of Appeals overturned a ruling that prevented DT Midstream Inc. from building a natural gas pipeline running beneath Energy Transfer’s ETC Tiger pipeline system. Williams filed an amicus curiae brief on behalf of DT Midstream in that case (OGJ Online, April 12, 2024).

LEG will transport Haynesville shale gas to the US Gulf Coast and is now scheduled to come on stream in the second half of 2025. Commissioning was originally planned for late 2024.

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