Mountain Valley Pipeline, LLC Announces MVP Southgate Project and Binding Open Season
PITTSBURGH–(BUSINESS WIRE)–Mountain Valley Pipeline, LLC (Mountain Valley) today announced the MVP
Southgate project, a proposed interstate natural gas pipeline anchored
by a firm capacity commitment from PSNC Energy, a wholly owned
subsidiary of SCANA Corporation (NYSE: SCG). Mountain Valley also
announced the commencement of a binding open season for MVP Southgate,
in order to provide additional market participants an opportunity to
subscribe to the project. EQT Midstream Partners, LP (NYSE: EQM) will be
the operator of MVP Southgate, which has a targeted in-service date of
the fourth quarter 2020.
Subject to Federal Energy Regulatory Commission approval, the MVP
Southgate project, as currently designed, will receive gas from the
Mountain Valley Pipeline mainline in Pittsylvania County, Virginia and
extend approximately 70 miles south to new delivery points in Rockingham
and Alamance Counties, North Carolina. MVP Southgate would provide
low-cost supply access to natural gas produced in the Marcellus and
Utica shale regions for service delivery to PSNC Energy customers, as
well as existing and new end-user markets in southern Virginia and
central North Carolina. To support the increasing demand for
clean-burning natural gas, MVP Southgate would enhance both supply
diversity and reliability to these growing regional markets.
"Today's announcement of the MVP Southgate project underscores the need
for improved access to a low-cost, reliable supply of natural gas from
the Appalachian Basin that will support the increasing demand for energy
by consumers and industrial markets in the southeast United States,"
said Jerry Ashcroft, president and chief executive officer, EQT
Midstream Partners. "Our focus on the safe and responsible construction
and operation of Mountain Valley Pipeline will continue into the
planning and development of MVP Southgate.”
“PSNC Energy’s customers benefit from the company having supply
diversity,” said PSNC Energy president and chief operating officer,
Rusty Harris. “This project will help ensure low costs for customers and
enhance service reliability.”
The binding open season for MVP Southgate commenced today and is
scheduled to end on May 11, 2018, at which time the final project scope
will be determined. For more information on the binding open season,
please visit www.mvpsouthgate.com.
About Mountain Valley Pipeline, LLC
Mountain Valley Pipeline, LLC (Mountain Valley) is a joint venture of
EQT Midstream Partners, LP; NextEra US Gas Assets, LLC; Con Edison
Transmission, Inc.; WGL Midstream; and RGC Midstream, LLC. Mountain
Valley is currently constructing the Mountain Valley Pipeline, an
underground natural gas pipeline that spans approximately 300 miles from
northwestern West Virginia to southern Virginia. MVP Southgate is a
proposed underground natural gas pipeline system that spans
approximately 70 miles from southern Virginia to central North Carolina
and, subject to regulatory review and approval by the Federal Energy
Regulatory Commission, will be constructed and owned by Mountain Valley.
The Mountain Valley Pipeline and MVP Southgate infrastructure systems
are designed to transport clean-burning natural gas from the prolific
Marcellus and Utica shale regions to the growing demand markets in the
Mid-Atlantic and Southeast areas of the United States. EQT Midstream
Partners will operate the pipelines, with targeted in-service dates of
late 2018 for Mountain Valley Pipeline and late 2020 for MVP Southgate.
From planning and development, to construction and in-service operation
– Mountain Valley is dedicated to the safety of its communities,
employees, and contractors; and to the preservation and protection of
the environment.
Visit www.mountainvalleypipeline.info
or www.mvpsouthgate.com
Mountain Valley Pipeline, LLC Cautionary Statements
Disclosures in this news release contain certain forward-looking
statements that do not relate strictly to historical or current facts
and are forward-looking. Without limiting the generality of the
foregoing, forward-looking statements contained in this news release
specifically include the expectations of plans, strategies, objectives
and growth, and anticipated financial and operational performance of
Mountain Valley Pipeline, LLC, including guidance regarding the proposed
Mountain Valley Pipeline, including the MVP Southgate project (together,
MVP), such as the projected length of the MVP; the MVP’s expected
interconnections with facilities and pipelines; existing customer
commitments; the timing of development and construction for the MVP; and
the expected in-service date for the MVP. The forward-looking statements
included in this news release are subject to risks and uncertainties
that could cause actual results to differ materially from projected
results. Accordingly, investors should not place undue reliance on
forward-looking statements as a prediction of actual results. Mountain
Valley Pipeline, LLC has based these forward-looking statements on
current expectations and assumptions about future events. While Mountain
Valley Pipeline, LLC considers these expectations and assumptions to be
reasonable, they are inherently subject to significant business,
economic, competitive, regulatory, and other risks and uncertainties,
most of which are difficult to predict and are beyond its control. The
risks and uncertainties that may affect the operations, performance, and
results of Mountain Valley Pipeline, LLC and forward-looking statements
include, but are not limited to:
The business, financial condition, results of operations and prospects
could suffer if Mountain Valley Pipeline, LLC does not proceed with
projects under development or is unable to complete the construction of,
or capital improvements to, its facilities on schedule or within budget.
The ability to complete construction of, and capital improvements to,
facilities on schedule and within budget may be adversely affected by
escalating costs for materials and labor and regulatory compliance,
inability to obtain or renew necessary licenses, rights-of-way, permits
or other approvals on acceptable terms or on schedule, disputes
involving contractors, labor organizations, land owners, governmental
entities, environmental groups, Native American and aboriginal groups,
and other third parties, negative publicity, transmission
interconnection issues, and other factors. If any development project or
construction or capital improvement project is not completed, is delayed
or is subject to cost overruns, certain associated costs may not be
approved for recovery or recoverable through regulatory mechanisms that
may otherwise be available, and Mountain Valley Pipeline, LLC could
become obligated to make delay or termination payments or become
obligated for other damages under contracts, could experience the loss
of tax credits or tax incentives, or delayed or diminished returns, and
could be required to write-off all or a portion of its investment in the
project. Any of these events could have a material adverse effect on
Mountain Valley Pipeline, LLC’s business, financial condition, results
of operations and prospects. Mountain Valley Pipeline, LLC may face
risks related to project siting, financing, construction, permitting,
governmental approvals and the negotiation of project development
agreements that may impede its development and operating activities.
Mountain Valley Pipeline, LLC must periodically apply for licenses and
permits from various local, state, federal and other regulatory
authorities and abide by their respective conditions. Should Mountain
Valley Pipeline, LLC be unsuccessful in obtaining necessary licenses or
permits on acceptable terms, should there be a delay in obtaining or
renewing necessary licenses or permits or should regulatory authorities
initiate any associated investigations or enforcement actions or impose
related penalties or disallowances on Mountain Valley Pipeline, LLC,
Mountain Valley Pipeline, LLC’s business, financial condition, results
of operations and prospects could be materially adversely affected. Any
failure to negotiate successful project development agreements for new
facilities with third parties could have similar results.
Mountain Valley Pipeline, LLC’s gas infrastructure facilities and other
facilities are subject to many operational risks. Operational risks
could result in, among other things, lost revenues due to prolonged
outages, increased expenses due to monetary penalties or fines for
compliance failures, liability to third parties for property and
personal injury damage, a failure to perform under applicable sales
agreements and associated loss of revenues from terminated agreements or
liability for liquidated damages under continuing agreements. The
consequences of these risks could have a material adverse effect on
Mountain Valley Pipeline, LLC’s business, financial condition, results
of operations and prospects.
Uncertainties and risks inherent in operating and maintaining Mountain
Valley Pipeline, LLC's facilities include, but are not limited to, risks
associated with facility start-up operations, such as whether the
facilities will achieve projected operating performance on schedule and
otherwise as planned.
Mountain Valley Pipeline, LLC’s business, financial condition, results
of operations and prospects can be materially adversely affected by
weather conditions, including, but not limited to, the impact of severe
weather.
Threats of terrorism and catastrophic events that could result from
terrorism, cyber-attacks, or individuals and/or groups attempting to
disrupt Mountain Valley Pipeline, LLC’s business, or the businesses of
third parties, may materially adversely affect Mountain Valley Pipeline,
LLC’s business, financial condition, results of operations and prospects.
Any forward-looking statement speaks only as of the date on which such
statement is made and Mountain Valley Pipeline, LLC does not intend to
correct or update any forward-looking statement, whether as a result of
new information, future events or otherwise.
Contacts
For EQT Midstream Partners
Natalie Cox, 412-395-3941
Corporate
Director, Communications
[email protected]
