July 15, 2021 – Natural Gas Intelligence
Northeast Natural Gas Forward Curve Price Strength Highlights Production, Storage Concerns
By: Leticia Gonzales
PennEast had petitioned the high court in 2020 to review a lower court ruling. That ruling concluded that a FERC certificate issued under the Natural Gas Act (NGA) did not allow a private company to use eminent domain to seize state-owned land. Federal Energy Regulatory Commission authorization under the NGA, however, generally allows private operators to take property by eminent domain. The Supreme Court agreed.
RBN Energy LLC analyst Sheetal Nasta said PennEast offers more capacity and optionality for producers in northeastern Pennsylvania that have limited takeaway options. Some face worsening pipeline constraints even as prices and downstream demand are taking off.
“PennEast is among the greenfield projects that have faced some of the staunchest opposition,” Nasta said. “It’s also one of few still left in the fight to cross the finish line.”