Williams Partners Executes Agreements with Southwestern Energy to Expand Gas Gathering, Processing and Liquids Handling Services in the Northeast

  • Williams Partners to provide gas processing, fractionation and liquids handling services for Southwestern in its Wet Gas Acreage in the Marcellus and Upper Devonian Shale
  • Williams Partners to provide gas gathering services for Southwestern in its South Utica Dry Gas Acreage
  • Service area is in Appalachian Basin of West Virginia in Williams Partners’ Northeast Gathering & Processing Operating Area

TULSA, Okla.--()--Williams Partners L.P. (NYSE: WPZ) today announced the execution of agreements with Southwestern Energy Company (NYSE: SWN) (“Southwestern”) to expand its services to Southwestern in the Appalachian Basin of West Virginia where Williams Partners has established a strong operational footprint. The agreements call for Williams Partners to deliver gas processing, fractionation, and liquids handling services in Southwestern’s Wet Gas Acreage in the Marcellus and Upper Devonian Shale along with gas gathering services for Southwestern in its South Utica Dry Gas Acreage.

Williams Partners will provide Southwestern with 660 million cubic feet per day (MMcf/d) of processing capacity to serve a 135,000-acre dedication in Southwestern’s Wet Gas Acreage in the Marcellus and Upper Devonian Shale in Marshall and Wetzel counties in West Virginia. As a result of this agreement, Williams Partners expects to further build out its Oak Grove processing facility for Southwestern’s expanding production of wet gas. The Oak Grove processing facility has the ability to expand by an additional 1.8 Bcf/d of gas processing capacity.

Williams Partners’ Northeast Gathering & Processing Operating Area also secured a gathering dedication of Southwestern’s South Utica Dry Gas Acreage – 71,500 acres in Marshall and Wetzel counties in West Virginia. The gathering and processing expansions will be supported by long-term, fee-based agreements and volumetric commitments.

Executing these agreements with a premier customer like Southwestern is a direct reflection of how well-positioned our existing assets are in our Northeast Gathering & Processing Operating Area footprint,” said Micheal Dunn, chief operating officer and executive vice president of Williams Partners’ general partner. “We look forward to expanding our business relationship with Southwestern in the Northeast where our access to multiple gas takeaway markets and the ability to efficiently expand our infrastructure showcases our ability to serve the rapidly growing gas production in the Marcellus and Utica.”

Downstream gas connections into Columbia’s Leach Xpress and Mountaineer Xpress are being established to boost market access and diversify gas pricing opportunities.

The new agreements with Southwestern are actually a ‘win-win-win’ opportunity,” said James Scheel, senior vice president for Williams Partners’ Northeast Gathering & Processing Operating Area. “We are able to grow our gathering and processing volumes, expand our services for a valued customer, and increase the takeaway hub by solidifying downstream connections from processing to new interstate pipelines – which benefits all producers in this area.”

About Williams Partners

Williams Partners is an industry-leading, large-cap natural gas infrastructure master limited partnership with a strong growth outlook and major positions in key U.S. supply basins. Williams Partners has operations across the natural gas value chain including gathering, processing and interstate transportation of natural gas and natural gas liquids. Williams Partners owns and operates more than 33,000 miles of pipelines system wide – including the nation’s largest volume and fastest growing pipeline – providing natural gas for clean-power generation, heating and industrial use. Williams Partners’ operations touch approximately 30 percent of U.S. natural gas. Tulsa, Okla.-based Williams (NYSE: WMB), a premier provider of large-scale U.S. natural gas infrastructure, owns approximately 74 percent of Williams Partners.

Portions of this document may constitute “forward-looking statements” as defined by federal law. Although the partnership believes any such statements are based on reasonable assumptions, there is no assurance that actual outcomes will not be materially different. Additional information about issues that could lead to material changes in performance is contained in the partnership’s annual and quarterly reports filed with the Securities and Exchange Commission.

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Williams Partners L.P.
Media Contact:
Keith Isbell, 918-573-7308
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Investor Contact:
Brett Krieg, 918-573-4614

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