Clermont Modernization Project. National Fuel Gas Supply Corporation Sept. 20, 2016

Transcription

1 Clermont Modernization Project National Fuel Gas Supply Corporation Sept. 20, 2016

2 Who is National Fuel Gas Company? A diversified energy company with more than 100 years experience in New York and Pennsylvania. Business segments include: Exploration and production- develops and produces natural gas Gathering- owns and operates natural gas processing and pipeline facilities Pipeline and storage- owns and operates 2,800+ miles of interstate natural gas pipelines Utility- transports natural gas to more than 740,000 customers Energy Marketing- non-utility energy supplier 2

3 Natural Gas in Demand 3

4 Why are we here? Extensive community involvement at an early point in the Clermont Modernization Project. Open dialogue with the public: Answer questions. Listen to comments. Gather input. Question and answer period to follow presentation. 4

5 Regulatory Agencies Federal Agencies Federal Energy Regulatory Commission (FERC) U.S. Army Corps of Engineers (USACE), Pittsburgh District U.S. Fish and Wildlife Service (USFWS), Pennsylvania Field Offices U.S. Department of Transportation (DOT) (PHMSA) Various Native American Tribal Group Contacts Commonwealth of Pennsylvania Agencies Pennsylvania Game Commission Pennsylvania Department of Environmental Protection (PADEP) Pennsylvania Historical and Museum Commission, Bureau for Historic Preservation, State Historic Preservation Office PADEP and McKean County Conservation District Local Municipal Agencies Town Building Permits Road Use/Opening Permits Pennsylvania Department of Conservation and Natural Resources Pennsylvania Fish and Boat Commission 5

6 Project Overview Pipeline YM-2: Replace 7.2 miles of 1940s vintage 8-inch bare steel with 12-inch, coated, high pressure pipeline. Extend12-inch pipeline an additional 7.2 miles generally following existing pipeline corridor to meet transportation requirements. Pipeline FM-120: Replace 5.8 miles of 1950s vintage 12- inch bare steel by inserting 6-inch FlexSteel pipe. Pipeline D6(S): Replace 4,500 feet of 8-inch pipe with 4- inch FlexSteel pipe. Pipeline FM-120: Abandon 12.6 miles of 1950s vintage 12- inch bare steel. New measurement and regulation adjacent to existing interconnect at Route 146 on property owned by Seneca Resources, Inc. 6

7 Project Overview (cont.) Pipeline abandonment areas: Existing gas will be purged from lines. Lines will be cleaned by utilizing "pigging" runs. Ends of abandoned sections will be sealed. 7

8 Project Map 8

9 Proposed Timeline September 2016 September / October 2016 Begin landowner notification and survey permission Survey, environmental, and engineering studies of preferred route December 2016 Submit 7(b) and (c) application to FERC March through December, 2017 December 2017 January 2018 May 2018 June 2018 November 2018 Spring 2019 Right of way acquisition; continue environmental studies as necessary Anticipate FERC approval Begin timber clearing and site activities Construction begins Restoration begins Target in-service date Remaining restoration 9

10 Economic Impact of the Project Investing over $30 million in Pennsylvania. Creating jobs during construction. Supporting local businesses during construction and operation. Ongoing work with area companies. 10

11 Factors in Selection of Route Maximize use of existing pipeline corridors. Minimize impact to landowners. Engineering and technical issues. Constructability issues. Minimize disturbance to land. Natural resource preservation. Cultural and archeological resource preservation. 11

12 Safety Safety is our top priority/outstanding safety record. Pipeline facilities are constructed and maintained to meet or exceed federal safety code: High strength carbon steel with modern fusion bonded epoxy coating Coating protected with Rockshield and/or select screened backfill Minimum 3 foot of cover 100% of welds are X-rayed Hydrostatic test Remote control valves System monitored 24/7 by NFG Gas Control Regulated/inspected by Federal Energy Regulatory Commission and U.S. Department of Transportation. 12

13 Safety (cont.) FlexSteel Steel reinforced flexible plastic pipe, that is proof tested to withstand twice of the rated pressure. Connected by stainless steel swaged fittings designed to be stronger than the pipe. Pipe design allows for continuous monitoring to ensure safety. 30 years of experience designing and manufacturing pipe. Flexsteel has not had a failure due to the design of the pipe. Currently used in regulated pipelines with a special permit. Special permit requires operator to design, install, and operate the line with an equivalent or greater level of safety then what is required of traditional steel lines. 13

14 Safety (cont.) FlexSteel Steel reinforced flexible plastic pipe, tested to withstand twice the rated pressure. Stainless steel swaged fittings. 30 years of use in offshore / marine environments. Zero in-service failures due to FlexSteel pipe design. Special DOT permit allows use of FlexSteel which provides an equivalent or greater level of safety than traditional steel lines. 14

15 Surveying in Your Area Surveying property mostly by walking land and installing colored flagging and stakes. Minimal disturbance by shovel testing, if necessary. Test holes repaired upon completion of testing. Surveying does not harm the land. Company representatives carry photo ID at all times. Will not ask to enter your home for any reason. Allows for communication with landowners. 15

16 Landowner Compensation Landowners will be appropriately compensated for economic loss/use (crop and timber damage) caused by construction. Proposed pipeline and facility easements will be acquired through negotiation based on comparable property sales and/or current market value. Land will be restored to original or better condition. 16

17 Proven Results Before During After 17

18 INGAA Landowner Commitments The Interstate Natural Gas Association of America (INGAA) is committed to leading an industry that builds and maintains strong positive relationships with Landowners. Each INGAA member company embraces the following commitments: 1. Respect and Trust 2. Accurate and Timely Information 3. Negotiate in Good Faith 4. Respect the Regulatory Compact 5. Responding to Issues 6. Outreach 7. Industry Ambassadors 8. Ongoing Commitment to Training 18

19 Contact Information Carly Manino Assistant Director, Corporate Communications , Ext Feedback c/o Corporate Communications 1100 State St. Erie, Pa