Mountain Valley Pipeline, LLC, a joint venture between affiliates of EQT
Corporation (NYSE: EQT) and NextEra Energy, Inc. (NYSE: NEE), today
announced that through its current open season it has secured 2 Bcf per
day of firm capacity commitments at 20-year terms for the Mountain
Valley Pipeline project. In order to accommodate continued shipper
interest, the binding open season was extended until Friday October 10,
2014. EQT, through one or more of its affiliates, including EQT
Midstream Partners, LP (NYSE: EQM), will operate the pipeline and own a
majority interest in the joint venture.
Virginia Governor Terry McAuliffe stated, “In order to compete globally
to attract businesses and create jobs, Virginia must have world-class
energy infrastructure that provides abundant access to low-cost energy
sources. New natural gas pipelines, like the Mountain Valley Pipeline,
will diversify our energy mix, reduce our Commonwealth’s carbon
emissions, and help build a new Virginia economy.”
During the past few years, the energy industry has been an important
economic boost to several states in the Appalachian Basin, including
both Virginia and West Virginia, sustaining jobs, bringing in new
manufacturing opportunities, and increasing tax revenues.
West Virginia Governor Earl Ray Tomblin said, "West Virginia continues
to be one of our nation’s energy leaders, and the Mountain Valley
Pipeline will help create new construction jobs for our workforce and
identify markets for our state’s abundant supply of natural gas. We
appreciate EQT's continued investments in our state and their
willingness to work with local economic developers to provide natural
gas service in areas that would benefit from both new industry and
downstream growth. These investments have the potential to create
good-paying jobs and by keeping key byproducts in our state, we have the
opportunity to rejuvenate our manufacturing sector and create promising
opportunities for future generations.”
With its connection to the existing Equitrans system in West Virginia,
the Mountain Valley Pipeline (MVP) will deliver natural gas supply from
vast resources located in the Marcellus and Utica shale development
areas to the Transco Zone 5 compressor station 165 in Virginia. The
estimated 300-mile pipeline will address producers’ growing
infrastructure constraints, while more importantly offering critical
supply diversity to meet the increasing demand for natural gas in the
Mid-Atlantic and Southeast markets.
“As the demand for energy continues to grow in the southeast region of
the U.S., we are proud to partner with NextEra Energy to develop a
project that will deliver clean-burning, domestically produced natural
gas to various manufacturing and consumer markets. Tapping our vast
energy reserves is the first step in our nation’s drive for energy
independence,” stated Randy Crawford, senior vice president, EQT
Corporation; and chief operating officer, EQT Midstream Partners.
TJ Tuscai, president, NextEra US Gas Assets said, “We are pleased with
the market response to the proposed Mountain Valley Pipeline open
season. We look forward to working with the communities along the
pipeline route and our partner EQT to bring a new reliable supply of
natural gas to customers in the southeast United States.”
Mountain Valley Pipeline, LLC expects to begin the pre-filing process
with FERC in October 2014, followed by community open houses later this
year. As details are finalized, the dates, times, and locations of these
open houses will be available at www.mountainvalleypipeline.info
-- along with additional information, including a project overview, the
regulatory approval process, revisions to the proposed routing map, and
frequently asked questions. Subject to approval by the Federal Energy
Regulatory Commission (FERC), the Mountain Valley Pipeline is expected
to be in-service during the fourth quarter of 2018.
About EQT Corporation:
EQT
Corporation is an integrated energy company with emphasis on Appalachian
area natural gas production, gathering, and transmission. EQT is the
general partner and significant equity owner of EQT Midstream Partners,
LP. With more than 125 years of experience, EQT continues to be a leader
in the use of advanced horizontal drilling technology – designed to
minimize the potential impact of drilling-related activities and reduce
the overall environmental footprint. Through safe and responsible
operations, the Company is committed to meeting the country’s growing
demand for clean-burning energy, while continuing to provide a rewarding
workplace and enrich the communities where its employees live and work.
Company shares are traded on the New York Stock Exchange as EQT.
Visit EQT Corporation at www.EQT.com.
About EQT Midstream Partners:
EQT
Midstream Partners, LP is a growth-oriented limited partnership formed
by EQT Corporation to own, operate, acquire, and develop midstream
assets in the Appalachian Basin. The Partnership provides midstream
services to EQT Corporation and third-party companies through its
strategically located transmission, storage, and gathering systems that
service the Marcellus and Utica regions. The Partnership owns 700 miles
and operates an additional 200 miles of FERC-regulated interstate
pipelines; and also owns more than 1,600 miles of high- and low-pressure
gathering lines.
Visit EQT Midstream Partners, LP at www.eqtmidstreampartners.com.
About NextEra Energy, Inc.
NextEra
Energy, Inc. (NYSE: NEE) is a leading clean energy company with
consolidated revenues of approximately $15.1 billion, approximately
42,500 megawatts of generating capacity, and approximately 13,900
employees in 26 states and Canada as of year-end 2013. Headquartered in
Juno Beach, Fla., NextEra Energy’s principal subsidiaries are Florida
Power & Light Company, which serves approximately 4.7 million customer
accounts in Florida and is one of the largest rate-regulated electric
utilities in the United States, and NextEra Energy Resources, LLC, which
together with its affiliated entities is the largest generator in North
America of renewable energy from the wind and sun. Through its
subsidiaries, NextEra Energy generates clean, emissions-free electricity
from eight commercial nuclear power units in Florida, New Hampshire,
Iowa and Wisconsin. NextEra Energy has been recognized often by third
parties for its efforts in sustainability, corporate responsibility,
ethics and compliance, and diversity, and has been named No. 1 overall
among electric and gas utilities on Fortune’s list of “World’s Most
Admired Companies” for eight consecutive years, which is an
unprecedented achievement in its industry.
Mountain Valley Pipeline, LLC Cautionary Statements
Disclosures
in this news release contain certain forward-looking statements that do
not relate strictly to historical or current facts and are
forward-looking. Without limiting the generality of the foregoing,
forward-looking statements contained in this news release specifically
include the expectations of plans, strategies, objectives and growth,
and anticipated financial and operational performance of Mountain Valley
Pipeline, LLC, including guidance regarding the proposed Mountain Valley
Pipeline (MVP) and joint venture, such as the projected length of the
MVP; the EQT affiliate to own and/or operate the MVP; the MVP’s expected
interconnections with facilities and pipelines; existing customer
commitments; the timing of development and construction for the MVP; and
the expected in-service date for the MVP. The forward-looking statements
included in this news release are subject to risks and uncertainties
that could cause actual results to differ materially from projected
results. Accordingly, investors should not place undue reliance on
forward-looking statements as a prediction of actual results. Mountain
Valley Pipeline, LLC has based these forward-looking statements on
current expectations and assumptions about future events. While Mountain
Valley Pipeline, LLC considers these expectations and assumptions to be
reasonable, they are inherently subject to significant business,
economic, competitive, regulatory, and other risks and uncertainties,
most of which are difficult to predict and are beyond its control. The
risks and uncertainties that may affect the operations, performance, and
results of MVP and forward-looking statements include, but are not
limited to:
The business, financial condition, results of operations and prospects
could suffer if Mountain Valley Pipeline, LLC does not proceed with
projects under development or is unable to complete the construction of,
or capital improvements to its facilities on schedule or within budget.
The ability to complete construction of, and capital improvement
projects and other facilities on schedule and within budget may be
adversely affected by escalating costs for materials and labor and
regulatory compliance, inability to obtain or renew necessary licenses,
rights-of-way, permits or other approvals on acceptable terms or on
schedule, disputes involving contractors, labor organizations, land
owners, governmental entities, environmental groups, Native American and
aboriginal groups, and other third parties, negative publicity,
transmission interconnection issues, and other factors. If any
development project or construction or capital improvement project is
not completed, is delayed or is subject to cost overruns, certain
associated costs may not be approved for recovery or recoverable through
regulatory mechanisms that may otherwise be available, and Mountain
Valley Pipeline, LLC could become obligated to make delay or termination
payments or become obligated for other damages under contracts, could
experience the loss of tax credits or tax incentives, or delayed or
diminished returns, and could be required to write-off all or a portion
of its investment in the project. Any of these events could have a
material adverse effect on Mountain Valley Pipeline, LLC’s business,
financial condition, results of operations and prospects.
Mountain Valley Pipeline, LLC may face risks related to project siting,
financing, construction, permitting, governmental approvals and the
negotiation of project development agreements that may impede its
development and operating activities.
Mountain Valley Pipeline, LLC must periodically apply for licenses and
permits from various local, state, federal and other regulatory
authorities and abide by their respective conditions. Should Mountain
Valley Pipeline, LLC be unsuccessful in obtaining necessary licenses or
permits on acceptable terms, should there be a delay in obtaining or
renewing necessary licenses or permits or should regulatory authorities
initiate any associated investigations or enforcement actions or impose
related penalties or disallowances on Mountain Valley Pipeline, LLC,
Mountain Valley Pipeline, LLC’s business, financial condition, results
of operations and prospects could be materially adversely affected. Any
failure to negotiate successful project development agreements for new
facilities with third parties could have similar results.
Mountain Valley Pipeline, LLC’s gas infrastructure facilities and other
facilities are subject to many operational risks. Operational risks
could result in, among other things, lost revenues due to prolonged
outages, increased expenses due to monetary penalties or fines for
compliance failures, liability to third parties for property and
personal injury damage, a failure to perform under applicable sales
agreements and associated loss of revenues from terminated agreements or
liability for liquidated damages under continuing agreements. The
consequences of these risks which could have a material adverse effect
on Mountain Valley Pipeline, LLC’s business, financial condition,
results of operations and prospects.
Uncertainties and risks inherent in operating and maintaining Mountain
Valley Pipeline, LLC's facilities include, but are not limited to risks
associated with facility start-up operations, such as whether the
facility will achieve projected operating performance on schedule and
otherwise as planned:
Mountain Valley Pipeline, LLC’s business, financial condition, results
of operations and prospects can be materially adversely affected by
weather conditions, including, but not limited to, the impact of severe
weather.
Threats of terrorism and catastrophic events that could result from
terrorism, cyber-attacks, or individuals and/or groups attempting to
disrupt Mountain Valley Pipeline, LLC’s business, or the businesses of
third parties, may materially adversely affect Mountain Valley Pipeline,
LLC’s business, financial condition, results of operations and prospects.
Any forward-looking statement speaks only as of the date on which such
statement is made and Mountain Valley Pipeline, LLC does not intend to
correct or update any forward-looking statement, whether as a result of
new information, future events or otherwise.
Copyright Business Wire 2014