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High pressure gas pipes awaiting instalation. (Image: Bryan Hindle via Flickr)

Firm cancels application to build $3.3B natural gas pipeline

ALBANY, N.Y. (AP) — Houston-based Kinder Morgan has withdrawn its application for a federal permit to build a $3.3 billion natural gas pipeline and a network of compressor stations.

The 420-mile Northeast Energy Direct pipeline was intended to send natural gas from Pennsylvania’s shale gas fields across upstate New York to New England.

The company announced last month that it was suspending work on the project, citing a lack of contracts with gas distribution companies. It formally withdrew its application with the Federal Energy Regulatory Commission on Monday.

New York regulators last month denied a water quality permit for the Constitution Pipeline, which would have followed much of the same route. That pipeline’s developers are challenging the state’s action in court.

Related news: Constitution pipeline ready to go, Kinder Morgan project shelved

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