Williams receives final Environmental Impact Statement for the Atlantic Sunrise project
Houston-based Cabot Oil & Gas Corp. (ticker: COG) announced Friday that Williams Partners (ticker: WPZ) received its final Environmental Impact Statement (EIS) from the Federal Energy Regulatory Commission (FERC) for its Atlantic Sunrise project. Cabot holds 850,000 MMBtu/d of transportation capacity on the Atlantic Sunrise project.
“The issuance of the final EIS is a key step toward the FERC’s final decision on the project, which is expected in early 2017,” Cabot said in a press release. “Following the receipt of all necessary regulatory approvals, Williams Partners anticipates beginning construction in mid-2017, allowing for a full in-service of the project in mid-2018.”
Assuming no change in NYMEX or regional differentials between Q4 2016 and Q4 2018, Cabot’s various projects to increase infrastructure capacity will allow the company to improve realized prices by more than $0.50 per Mcf over that same period of time, the company said in a presentation. Projects like Atlantic Sunrise will also improve COG’s in-basin pricing, resulting in an even further uplift in realized prices.
Source: Cabot Oil & Gas
Cabot sells an additional 150,000 MMBtu/d of capacity to an unnamed third-party
In addition to the news that Atlantic Sunrise has received the final EIS from the FERC, Cabot Oil & Gas also announced the execution of a new definitive gas sale and purchase agreement with an undisclosed company. Under the terms of this new agreement, COG has agreed to sell an additional 150,000 MMBtu/d of natural gas for a term of three years commencing on the full in-service of the Atlantic Sunrise project.
