Gas pipeline stalls

Palomar pipeline backers told federal energy regulators that their project is in limbo.

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Backers of the proposed $800 million Palomar Gas Transmission pipeline told the Federal Energy Regulatory Commission that the program “was reviewing its project plan” before moving forward.

The project needs to secure additional funding after the bankruptcy of its biggest prospective customer, a proposed liquefied natural gas terminal on the Columbia River.

Palomar said it was continuing some long-term field surveys on species that could be impacted by the project so FERC can resume its environmental analysis of the project when supplemental material or a revised application is submitted.

Palomar’s backers have always insisted that their project was not dependent on an LNG terminal, even though LNG developers were covering development costs for the pipeline. Outside experts have questioned the viability of the project without the volume of gas that an LNG terminal would have shipped on the pipe.

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