PIPELINE EXPANSIONS

Millennium's Strategic Location Creates Pathways for Growth

Road to the Northeast Goes Through Millennium
Due to its location and numerous interconnections with other major natural gas pipelines (see map), Millennium is well positioned to deliver increasing volumes of clean burning natural gas to New York, New Jersey and New England. For a growing number of natural gas users, Millennium is an important part of their pipeline delivery system. In fact, existing interconnections put the entire Northeast within easy reach, allowing regional customers to access supplies from western New York, Pennsylvania and Canada.
Pipeline Expansion Incremental expansions are an efficient and cost-effective way to increase access to gas supplies, storage fields or markets because they leverage the benefits of existing facilities and can be designed to meet specific customer needs. The expansion and extension opportunities summarized below would increase both Millennium's reliability and flexibility by providing enhanced access to Marcellus Shale production and gas storage facilities as well as Northeast markets, with added flexibility for bi-directional flow.

MAINLINE EXPANSION (Corning to Ramapo): By adding compression and pipeline looping to the existing system, Millennium will substantially increase its current mainline capacity from Corning (Empire) to Ramapo (Algonquin) up to 1.2 BCF/day.
(Independence to Corning): Millennium will add incremental capacity west of its Corning Compressor Station allowing for increased deliverability from National Fuel at Independence, Tennessee at North Greenwood and Inergy's new Arlington Storage Facility to points east. This project will create approx. 60,000 Dth/d of additional firm service on this segment.
M-I CONNECTOR: Millennium has defined a path northeast to interconnect with Iroquois Gas Transmission at Pleasant Valley to provide Iroquois shippers .5 – 1.0 BCF/d of direct access to Marcellus Shale production

Access to Storage
While the pace of developing natural gas storage facilities in western New York has accelerated in recent years, benefitting natural gas customers, some planned storage facilities are not served by sufficient pipeline capacity for related transportation services. Millennium is directly connected to 31 Bcf of storage capacity and could add another 25 Bcf in the next two years with a targeted expansion.

Access to Marcellus Shale
Stretching from southern New York through western Pennsylvania and into eastern Ohio, the Marcellus Shale field is one of the largest natural gas fields in North America. According to a 2008 estimate by the Federal Energy Regulatory Commission, it contains 262 trillion cubic feet (Tcf), however, other studies place the estimate as high as 500 Tcf. These reserves are right in Millennium's backyard … literally. This proximity is an advantage for natural gas producers and gatherers and provides rational increments for future expansions to support development of this valuable domestic resource.

Millennium has the unique advantage of being able to directly access these reserves through proposed interconnections in Chemung, Sullivan and Broome counties and could access additional Marcellus Shale reserves in neighboring states through proposed interconnections with other pipelines or midstream developers.

The Changing Environment
Since Millennium started full commercial service on Dec. 22, 2008, the amount of its available capacity has decreased due to changing supply and market demands in the region, which combine to support the need for increased capacity on Millennium Pipeline.

These conditions include further development of Marcellus Shale reserves as well as natural gas storage facilities, both of which require additional pipeline capacity to provide associated transportation. Another factor is pent-up demand for natural gas in New York City. The New York State Energy Plan projects that about 80 percent of the growth in statewide natural gas demand over the next 10 years will be "concentrated in the capacity constrained New York City and Long Island regions.".

About Millennium Pipeline
Jointly sponsored by units of NiSource Inc., National Grid, and DTE Energy, the Millennium Pipeline provides consumers in the Northeast with additional natural gas infrastructure to meet the growing demand for clean energy. The 182-mile, 30-inch pipeline has the capacity to deliver up to 525,400 dekatherms per day. Millennium makes extensive use of existing utility easements, extending from Independence in Steuben County to Buena Vista in Rockland County. Millennium, which is supplied by local production and storage fields and interconnecting upstream pipelines, serves customers along its route in the Southern Tier and Lower Hudson Valley as well as serving several major utility customers in New England and the New York City area.

To learn more about how expanding Millennium’s capacity can benefit your company, please contact:

  • Mr. Stan Brownell
    Vice President of Marketing and Business Development
    (845) 620-1300
    Brownell@millenniumpipeline.com

    One Blue Hill Plaza, 7th Floor
    Pearl River, NY 10965
    www.millenniumpipeline.com

  • Millennium Pipeline