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William Partners Garden State Project Approved by FERC

Williams Partners L.P. WPZ announced that it has received approval for Transco’s Garden State Expansion Project from the Federal Energy Regulatory Commission (FERC). This project will enable the company to serve its customers in New Jersey by delivering 180,000 dekatherms a day of additional natural gas capacity.

The Garden State project will transfer natural gas to a new interconnection on its Trenton Woodbury Lateral in Burlington County, NJ from Transco’s Zone 6 Station 210 Pooling Point in Mercer County, NJ.

Williams Partners plans to spend around $1.3 billion for Transco expansions and for other interstate pipeline growth developments in 2016.

The Rock Spring project under Transco is nearing completion and is expected to start operations by the third quarter of 2016. This 11.2 mile pipeline will be transporting 192,000 dekatherms of natural gas per day to Old Dominion Electric Cooperative’s electric power generating facility in Maryland.

The New York Bay Expansion project, which is estimated to cost around $130 million, is likely to deliver 115,000 dekatherms of natural gas per day into National Grid’s distribution system.

The Gulf Trace project in Louisiana is likely to deliver 1.2 million dekatherm per day and is expected to come online the first quarter of 2017.

Apart from these, Transco expansions will comprise projects such as the Hillabee Expansion Project, Dalton Expansion Project, Virginia Southside II Expansion and Atlantic Sunrise. All these projects are expected to become operational in 2017.

Transco, the largest interstate natural gas pipeline system, is a major cost-effective natural gas services provider. The pipeline serves U.S. markets in 12 Southeast and Atlantic Seaboard states, including major metropolitan areas in New York, New Jersey and Pennsylvania.

Located in Tulsa, OK, Williams Partners is a subsidiary of Williams Companies, Inc. WMB and has various operations across the natural gas value chain from gathering, processing and interstate transportation of natural gas and natural gas liquids to production of ethylene, propylene and other olefins.

Williams Partners currently carries a Zacks Rank #3 (Hold), implying that the stock will perform in line with the broader U.S. equity market over the next one to three months.

Some better-ranked stocks in the same sector are Sasol Ltd. SSL and PetroChina Co. Ltd. PTR. Both these stocks sport a Zacks Rank #1 (Strong Buy).

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WILLIAMS PTR LP (WPZ): Free Stock Analysis Report
PETROCHINA ADR (PTR): Free Stock Analysis Report
SASOL LTD -ADR (SSL): Free Stock Analysis Report
WILLIAMS COS (WMB): Free Stock Analysis Report
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