Canada’s TC Energy has approved the USD 1.5-billion Appalachia Supply Project to expand its Columbia Gas Transmission system in the US after first-quarter profit beat market expectations, the company announced in its earnings release on Friday.
The Columbia Gas Transmission system spans approximately 18,768 kilometres, extending from New York to markets in the midwestern and southeastern US, serving primarily power and industrial customers.
With the Appalachia Supply Project, scheduled to come on stream in 203, TC Energy will add 22.7 mcm (800 mcf) in transportation capacity, backed by a 20-year utility contract. The project is designed to carry up to 56.6 mcm (2 bcf) through future expansions and aims to support the projected growth in regional gas-fired power generation capacity.
“Constructive market conditions continue to translate into attractive, disciplined growth opportunities. I’m pleased to announce the Appalachia Supply Project, a strategic expansion of our Columbia Gas system that is expected to create a new platform for capital-efficient opportunities in a high‑growth power and industrial corridor,” said François Poirier, CEO of TC Energy.
Listed in Toronto and New York, TC Energy operates pipeline and power infrastructure in North America. Columbia Gas Transmission network links gas basins with consumers in 10 US states.