Spectra inks agreement with authorities to expand East Tennessee Natural Gas Pipeline

Spectra Energy Partners, LP (SEP) has signed a precedent agreement with the Tennessee Valley Authority (TVA) for an expansion of its East Tennessee Natural Gas (ETNG) pipeline system to provide firm transportation services of up to 150 million cubic feet per day (Mmcf/d) to TVA's proposed 880-megawatt combined cycle, natural gas-fired power plant in northeast Tennessee. 

"Our East Tennessee Natural Gas system in northeastern Tennessee and southwestern Virginia is well positioned to safely and reliably deliver clean-burning natural gas to TVA's proposed natural gas-fired power plant," said Gregory J. Rizzo, president and chief executive officer, Spectra Energy Partners.

The scope of the Northeast Tennessee (NET) Project, which has an estimated capital cost of $135 million, includes expanding or modifying existing facilities on the ETNG system and building a new, 8.5-mile mainline extension that would generally follow TVA's existing transmission line corridor. The use of existing utility corridors and pipeline rights-of-way, where possible, will minimize the effects on landowners and the environment. 

ETNG's pipeline system expansion, which is expected to be in service during the second half of 2011, is subject to Spectra Energy Corp and Spectra Energy Partners board of directors approvals as well as regulatory approvals.

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