Energy Transfer To Upsizes Transwestern Pipeline's Diameter From 42 Inches To 48 Inches To Meet Additional Client Demand

Benzinga · 2d ago

Energy Transfer LP (NYSE:ET) today announced an increase in the transportation capacity of Transwestern Pipeline's planned Desert Southwest expansion project to meet additional customer demand. The continued population growth and positive economic momentum throughout Arizona and New Mexico will require efficient, reliable energy sources. This recently announced project will serve these markets from Energy Transfer's premier asset base in the prolific Permian Basin.

To meet the need for additional capacity identified through a recent open season, the project's mainline pipeline diameter will be upsized from 42 inches to 48 inches, which will increase the project's capacity to up to 2.3 billion cubic feet per day, depending on final compression configuration. There is significant demand growth in the Desert Southwest region, including the potential to retire and or convert coal-fired power plants to natural gas, which could further benefit the project. The ultimate capacity of the Desert Southwest expansion project will be based on market demand.