Williams Announces Early In-Service Capacity for Critical Natural Gas Infrastructure Projects

Rhea-AI Summary

Williams (NYSE: WMB) has announced early in-service capacity for key energy infrastructure projects, leading to accelerated cash flow in Q4. Key expansions include the Leidy South pipeline, which added 125 MMcf/d capacity in November, Southeastern Trail, contributing 150 MMcf/d in November, and the Bluestem Pipeline, completed two months early with 120 Mbbls/d capacity. The company's strategic focus on natural gas positions it as a vital player in the transition to clean energy, underscored by stakeholder collaboration throughout project execution.

Positive

• Early in-service capacity achieved, leading to earlier-than-expected cash flow in Q4.
• Key projects completed ahead of schedule and under budget.
• Leidy South expansion added 125 MMcf/d capacity; total expected to reach 582 MMcf/d.
• Southeastern Trail achieved partial in-service of 150 MMcf/d in November.
• Bluestem Pipeline started service two months ahead of schedule.

Negative

• None.

Williams (NYSE: WMB) today announced that it achieved early in-service capacity, and as a result, earlier-than-expected cash flow in the fourth quarter, for key energy infrastructure expansions designed to serve growing demand for clean energy in the United States. The company credits its proactive engagement and open communication with stakeholders throughout the permitting and regulatory process as well as expeditious and COVID-safe project execution for completing major projects ahead of schedule and under budget.

“Now more than ever, the essential natural gas infrastructure projects Williams delivers are critical to the United States’ clean energy future, and we take pride in living up to our long-rooted reputation of doing a good job on time,” said Alan Armstrong, Williams president and chief executive officer. “Thanks to the collaborative efforts our team is taking with landowners, environmental groups, the regulatory community and other stakeholders, we are completing the projects that fuel our daily lives in a timely, safe, cost-conscious and environmentally responsible manner. On top of it all this year, our employees followed strict health safety protocols and adhered to local guidance and mandates in order to complete these critical projects amid the risks of the COVID-19 pandemic.”

The following projects attained early in-service capacity in the fourth quarter:

• Transco’s Leidy South, an expansion of Williams’ existing Pennsylvania energy infrastructure, brought 125 MMcf/d of capacity on line in November with the remaining 457 MMcf/d expected to be complete in 2021. The expansion connects robust Appalachia natural gas supplies with growing demand centers along the Atlantic Seaboard and has received key state and federal permits, including a partial FERC Notice to Proceed.
• Southeastern Trail, a Transco transmission expansion project to serve growing demand in the Mid-Atlantic and Southeastern U.S., commenced partial in-service of 150 MMcf/d in November and an additional 80 MMcf/d in December. The balance of the 296 MMcf/d project is expected to come on line in the first quarter of 2021.
• Bluestem Pipeline, a 120 Mbbls/d natural gas liquids (NGL) transportation pipeline that provides improved market access and liquidity for mixed NGLs, was completed under budget and began service in December, two months ahead of schedule.

With the growing urgency to transition to a low-carbon fuel future, Williams and its natural gas-focused strategy provide a practical and immediate path to reduce industry emissions, support the viability of renewables and grow a clean energy economy. As one of the nation’s largest gatherers, processors and transporters of natural gas, Williams plays a critical role in bringing this clean and affordable resource to electric generation, industry and homes.

About Williams

Williams (NYSE: WMB) is committed to being the leader in providing infrastructure that safely delivers natural gas products to reliably fuel the clean energy economy. Headquartered in Tulsa, Oklahoma, Williams is an industry-leading, investment grade C-Corp with operations across the natural gas value chain including gathering, processing, interstate transportation and storage of natural gas and natural gas liquids. With major positions in top U.S. supply basins, Williams connects the best supplies with the growing demand for clean energy. Williams owns and operates more than 30,000 miles of pipelines system wide – including Transco, the nation’s largest volume and fastest growing pipeline – and handles approximately 30 percent of the natural gas in the United States that is used every day for clean-power generation, heating and industrial use.

View source version on businesswire.com: https://www.businesswire.com/news/home/20201218005314/en/

FAQ

What is the significance of Williams' early in-service capacity announcement?

Williams' announcement signifies improved cash flow and operational efficiency, essential for supporting clean energy demand.

Which projects did Williams mention as achieving early in-service capacity?

The projects include Leidy South, Southeastern Trail, and Bluestem Pipeline.

What are the capacity figures for the Leidy South expansion project?

The Leidy South expansion brought online 125 MMcf/d in November, with a total capacity expected to reach 582 MMcf/d in 2021.

What impact do these projects have on clean energy in the U.S.?

These projects support the infrastructure needed to transition to a low-carbon fuel future and facilitate natural gas supply to growing demand centers.

How did Williams manage project execution during the pandemic?

Williams adhered to strict health safety protocols and maintained open communication with stakeholders throughout the project lifecycle.