COPY-New $1.3B pipeline planned for Fayetteville Shale - KAIT Jonesboro, AR - Region 8 News, weather, sports

COPY-New $1.3B pipeline planned for Fayetteville Shale

Associated Press - October 1, 2008 3:34 PM ET

LITTLE ROCK, Ark. (AP) - Two companies announced today a new $1.3 billion natural gas pipeline that will move gas from the Fayetteville Shale formation in Arkansas to major gas distribution lines.

Fayetteville Express Pipeline LLC is a joint venture between Kinder Morgan Energy Partners and Energy Transfer Partners. The companies say subsidiaries of 2 major drillers - Southwestern Energy Company and Chesapeake Energy Corporation - have agreed to 10-year commitments to use the line to transfer gas the companies have tapped.

The 187-mile pipeline is expected to be in service as soon as late 2010.

The line will run from Conway County, through White County and end in Quitman County, Mississippi, at a major north-south line run by Trunkline Gas Company.

The companies say the pipeline will initially be able to carry 2 billion cubic feet per day. Capacity may be expanded, depending on interest from other companies.

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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