East Texas

Pipeline Route Development

How are pipeline routes developed?

Pipeline route development is becoming more complicated as natural gas operators tap into the rich Haynesville Shale. A team of experts including civil and pipeline engineers, construction, environmental and right-of-way specialists works to find the delicate balance between producing a needed American energy source and protecting the environment.

After a detailed investigation of the potentially best available routes is completed, the options are closely scrutinized and a preferred route is identified. Issues regarding constructability, public impact, existing infrastructure and the strategic collection of natural gas are examined in great detail, as well as environmental sensitivity issues including but not limited to, wetlands, streams and historic sites.

Surveys provide much of the data the route development team relies upon to reach a decision when selecting a preferred route. During the survey, the surface and subsurface features of a tract of land are studied, providing important information on optimal areas to lay pipe. Prior to conducting a survey, the pipeline company may request a signed survey permission agreement with the landowner.

Does MMGS share their pipelines with other natural gas providers?

MMGS strives to minimize disturbances and share its pipelines with other companies whenever possible; however, there may be certain circumstances when pipeline sharing is not possible, such as those listed below:

Contractual Obligations – Gathering pipelines provide a transportation service to producers of natural gas through contractual agreements. These contracts may include dedications of pipeline capacity or other performance obligations that limit the availability of pipeline capacity for other parties.

Location – If one gas company has a concentration of leases in a particular area, a competing company would most likely not have many wells nearby, thereby lessening the need and financial incentive to share the cost of constructing and operating a pipeline.

Timing – Delaying a pipeline to include multiple producers or waiting to use a pipeline that is already functioning at capacity could prevent MMGS from maximizing its output of natural gas, negatively affecting the ability to move gas to market as needed. Operators have an obligation to royalty owners to move the product to market in a time-efficient manner. Potential delays in getting the gas to market ultimately affect our contractual obligation to royalty owners.

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