Source: El Paso Corp.
El Paso Corporation's (NYSE:EP) Ruby Pipeline Project has received Federal Energy Regulatory Commission (FERC) approval to proceed and begin construction.
"This approval is a milestone, successfully culminating more than two and one half years of outreach and comprehensive permitting at the federal, state, and local levels," said Jim Cleary, president of El Paso's Western Pipeline Group. “In addition to supplying significant supplies of clean-burning natural gas to the western states, we are also proud that Ruby will employ almost 5,000 people from Wyoming to Oregon during construction, and that the pipeline will provide significant economic benefits to the four states along our route for years to come."
Ruby, the first-ever carbon-neutral pipeline to be constructed and operated, involves 680 miles of 42-inch pipeline and four compressor stations. Ruby will transport natural gas from an existing supply hub at Opal, Wyoming, to interconnections near Malin, Oregon. It will have an initial design capacity of 1.5 billion cubic feet per day.
El Paso has entered into agreements with Global Infrastructure Partners (GIP), whereby GIP will invest up to $700 million in the Ruby project. Upon satisfaction of various closing conditions, GIP will acquire a 50 percent equity interest in the project.