Williams Companies, Inc. (the) · NYSE:WMB
Williams Companies, Inc. (the) — Corporate Update (2018)
42 slides from Williams Companies, Inc. (the)'s corporate update, 2018
Slide 1: 2018 Spring Update
WE MAKE ENERGY HAPPEN 2018 Spring Update NYSE: WMB williams.com Customer Service
Slide 2: Forward-looking Statements
Forward-looking Statements > The reports, filings, and other public announcements of Williams Partners L.P. (WPZ) and Transcontinental Gas Pipe Line Company, LLC (Transco) may contain or incorporate by reference statements that do not directly or exclusively relate to historical facts. Such statemen
Slide 3: Forward-looking Statements (cont'd)
Forward-looking Statements (cont’d) – Williams’ costs and funding obligations for defined benefit pension plans and other postretirement benefit plans; – Our allocated costs for defined benefit pension plans and other postretirement benefit plans sponsored by our affiliates; – Changes in maintenance
Slide 4: Commercial Operations - Customer Services
Commercial Operations - Customer Services Gary Duvall VP Transco Commercial Hector Alatorre Director Customer Services Keith Higginbotham John Cassapo Suzanne Heiser Bill Eiser Martha Janousek Manager Laurie Catlett Manager Leads Business Business Development – Development – Customer Service Custome
Slide 5: Strategic Asset Position
Strategic Asset Position CONNECTING THE BEST SUPPLIES Marcellus-Utica, Gulf Coast TO THE BEST MARKETS New York City, Washington D.C., Philadelphia, Florida, Atlanta, LNG export • Nations largest-volume interstate pipeline system • 9,700 miles of pipeline with 14.98 MMdth of gas per day for system- w
Slide 6: Transco Peak Day Deliveries and System Capacity
Transco Peak Day Deliveries and System Capacity Note: Includes all system deliveries and all Zones. 6
Slide 7: Weather
Weather Location January 4, 2018 January 5, 2018 January 6, 2018 High / Low High / Low High / Low New York 29 / 19 19 / 9 13 / 6 Charlotte 34 / 18 36 / 8 34 / 12 Atlanta 35 / 20 38 / 16 39 / 20 Tampa 56 / 38 60 / 35 61 / 41 7
Slide 8: Peak Day Delivery Quantities by State
Peak Day Delivery Quantities by State 3,500 3,000 2,500 MMscfd 2,000 1,500 1,000 500 0 TX LA MS AL GA SC NC VA MD PA NJ NY 1/5/2018 1/8/2017 1/18/2016 8
Slide 9: Takeaways From Winter & Opportunities Going Forward
Takeaways From Winter & Opportunities Going Forward > Transco system was stressed, but performed well. Many teams worked long hours managing equipment issues, storage changes, gas scheduling activity, etc. > Peak day occurred on a Friday which allowed the system to recover over the weekend. > OFO is
Slide 10: Supply / Demand Forecast: 2016-2021
Supply / Demand Forecast: 2016-2021 Anadarko, Arkoma and Appalachian Basin +15 23 38 +1 +1 +2 14 15 11 12 15 17 +1 13 14 +3 35 38 +10 +3 26 36 12 15 Regional Production change, 2016 to 2021 (Bcf/d) (1) Regional Demand change, 2016 to 2021 (Bcf/d) (1) (1) Size of bubble indicates magn
Slide 11: Supply Overview
Receipt or Volume (MMscf) Receipt or Receipt / Delivery / Net Supply Overview Lateral 04-01-2016 to 04-01-2017 to % Chg 03-31-2017 03-31-2018 McMullen 61 / (17) / 44 61 / (33) / 28 (36%) CTGS 204 / (96) / 108 164 / (29) / 135 25% Leidy SWLA 105 / (80) / 25 82 / (852) / (770) (3180%) Lambertville CEN
Slide 12: Market Transitions Drive More Volume Southward
Market Transitions Drive More Volume Southward Sta090 Northbound Flow Sta130 Sta065 Sta165 Sta030 Southbound Flow Sta195 Sta045 12
Slide 13: Transco Deliveries to End Users by State
Transco Deliveries to End Users by State 2,000,000 1,800,000 1,600,000 1,400,000 1,200,000 Dth 1,000,000 2013 2014 800,000 2015 2016 600,000 2017 400,000 200,000 0 13
Slide 14: Growth Volumes Well Balanced Among Customers
Growth Volumes Well Balanced Among Customers LDC / Industrial LNG Exports 19% 23% Distribution of total volume growth (7.2 Bcf/d) for 2017 to 2020 32% 26% Producer Power Generation 14
Slide 15: Leidy Line & Wharton Storage Update & System Maintenance
Leidy Line & Wharton Storage Update & System Maintenance Leidy Line > Transco has completed the requirements of the Corrective Action Order (CAO). > In addition to CAO compliance activities, integrity testing was also performed on other pipelines on the Leidy system. This includes over 325 miles of
Slide 16: Modernization Program
Modernization Program > Modernization Program – Evaluation – A strategic and defined program to upgrade and/or replace HP/Compression and pipeline facilities that • Require replacement based on risk profile • Require upgrades to meet new / emerging PHMSA and EPA rules • Provides reliability improvem
Slide 17: Priority of Service Summary
Priority of Service Summary > No-notice priorities of service offered by Transco: Traditional, Non-Traditional, Secondary and IT to continue providing additional flexible service – Flexible services will continue to be available when operationally feasible – Only Traditional and IT no-notice are pro
Slide 18: Regulatory Update
Regulatory Update > On March 16, 2018, Transco filed to change the pooling rules in its tariff effective October 1, 2018 to begin charging commodity and fuel rates on transactions leaving the zones 5 & 6 pools rather than applying those charges to transactions going into those pools. The proposed ch
Slide 19: Rate Case Update
Rate Case Update > As agreed in Article VI of the Stipulation and Agreement in Docket No. RP12-993, et al., Transco will file a NGA Section 4(e) general rate case no later than August 31, 2018. > Assuming that the filing date is August 31, 2018, the base period for the rate case will be June 1, 2017
Slide 20: Unsubscribed Capacity
Unsubscribed Capacity FT Capacity 313,850 FT; Non-seasonal; Mobile Bay MP261 to Pooling Station 85 Z4A 37,346 FT; Non-seasonal; Southeast Louisiana Lateral Station 62-65 3,763 FT (ACQ) Available 8/1/2018; Seasonal (March 1- November 30) Telescoped Capacity Washington Storage 124,200 dt Storage Capac
Slide 21: Atlantic Sunrise (ASR) Project – 1Line Changes
Atlantic Sunrise (ASR) Project – 1Line Changes > New “ROUTE” data element will be added to 1Line with the ASR Project in-service date – The Atlantic Sunrise (ASR) project will include the new Central Penn Line South (CPLS), giving shippers an alternate route option for some Zone 6 transactions. • A
Slide 22: Atlantic Sunrise (ASR) Project – 1Line Changes
Atlantic Sunrise (ASR) Project – 1Line Changes > Nominations and non-ASR secondary Leidy - capacity releases with paths that cross or Dominion are within any of the red brackets require Sta. 517 Route selection. > 3 Route Options – Non-CPLS: transaction moves on the North-CPLS Mainline or Leidy Line
Slide 23: Major Expansion Projects
Major Expansion Projects Gateway Project Mdt/d Pre-construction Atlantic Sunrise Q1 2021 Rivervale Atlantic Sunrise 1,700 Under construction Mid 2018 Q4 2019 In Service Garden State 180 Garden State Q3 2017 / Q1 2018 Gulf Connector 475 St. James Supply 162 Southeastern Trail Northeast Supply Q4 2020
Slide 24: Northern Market: Continuing Strong Growth
Northern Market: Continuing Strong Growth Rivervale South to Market New York Bay • 195 Mdt/d • 115 Mdt/d • Q4 2019 • October 6, 2017 Leidy Hub Gateway New York City • 65 MDth/d • Q1 - 2021 Atlantic Sunrise • 1,700 Mdt/d • Mid 2018 210 Northeast Supply Enhancement • 400 Mdt/d • Q4 2019 / Q1 2020 195
Slide 25: Power Generation Fuels Southern Market Expansions
Power Generation Fuels Southern Market Expansions Virginia Southside II • 250 Mdt/d • December 1, 2017 165 Dalton Expansion 160 • 448 Mdt/d • August 1, 2017 Hillabee Expansion Ph I • 818 Mdt/d • July 11, 2017 Southeastern Trail • 296 Mdt/d • Late 2020 Hillabee Expansion Ph II 85 • 207 Mdt/d • Q2 - 2
Slide 26: Gulf Coast Area Expansions Serving LNG and Industrial Customers
Gulf Coast Area Expansions Serving LNG and Industrial Customers 65 Gulf Connector • 475 Mdt/d • 1st half 2019 50 45 St. James Supply • 161 Mdt/d • Q2 2019 30 Gulf Trace • 1,200 Mdt/d • February 1, 2017 Note: In-service dates and capacities for projects not yet in service represent expected in-servic
Slide 27: LNG Opportunities
LNG Opportunities Gas Flows to Sabine Pass in Bcf/d > Contracted with four of six 3.5 LNG facilities currently 3.0 Daily in-service or under 2.5 construction (~2 Bcf/d) 2.0 1.5 LNG – Market access to the other two 1.0 0.5 export facilities - > Contracted with Sabine Pass Liquefaction; took delivery
Slide 28: Eastern Interstates – Projects in Execution
Eastern Interstates – Projects in Execution We are currently executing a total of 10 different expansion opportunities Constitution Q3 2019 Station 240 Modernization Q4 2019 New York Bay Expansion Rivervale South to Market Q4 2017 Q4 2019 NE Supply Enhancement Gateway Q4 2019 / Q1 2020 Q1 2021 Atlan
Slide 29: Garden State
Garden State Project Status: • Phase I in service on Sept 9, 2017 (20 MDth/d); • Phase II placed in-service on March 23, 2018 (160 MDthd). 505 Zone 6 207 PA 210 Pool 205 Trenton > Expansion from Station 210 in Mercer County, NJ to a new delivery point with New Jersey Natural NJ 203 on Transco’s Tren
Slide 30: Atlantic Sunrise
Atlantic Sunrise Project Status: • All regulatory authorizations/ permits received with construction underway on all project facilities; • Target in-service date: Mid 2018. > Expansion of Transco’s Leidy Line to Mid- Atlantic and Southeast Markets New York City > Provides access to markets in Zones
Slide 31: Gulf Connector
Gulf Connector Project Status: • Construction commenced in February 2018; > Expansion of Transco's mainline from • Target In-Service Date: Q1 2019. Station 65 to LNG delivery points in Zone 2 MS 85 and Zone 1 LA Zone 4 > Will be provided under Transco’s FT Service Zone 3 > Capacity: 475 Mdt/d 65 Zon
Slide 32: St. James Supply
St. James Supply Project Status: • Received FERC Certificate on January 18, 2018; > Incremental transportation from Transco’s • Construction commenced in April 2018; Station 65 to a new interconnect with the • Target In-Service Date: Q2 2019. 85 proposed YCI M1 facility > Will be provided under Tran
Slide 33: Station 240 Modernization
Station 240 Modernization Project Status: • Transco filed a 30-day advance notice with FERC on March 1, 2018 • Target In-Service Date: Q4 2019 Project Facts: • Replace liquefaction plant at Station 240 in Carlstadt, New Jersey to resolve safety and emissions issues, liquefaction degradation, operati
Slide 34: Rivervale South to Market
Rivervale South to Market Project Status: • FERC Application filed on August 31, 2017; • Received EA on March 16, 2018; > Expansion from the Rivervale interconnect with • Target In-Service Date: Q4 2019. Tennessee Gas Pipeline in Bergen County, NJ to the existing Central Manhattan M&R and Station 21
Slide 35: Northeast Supply Enhancement
Northeast Supply Enhancement Project Status: • FERC Application filed on March 27, 2017; • Draft Environmental Impact Statement received on March 23, 2018; • Target In-Service Date Q4 2019 / Q1 2020. 303 > Expansion from Station 195 in York County, PA to the Rockaway Lateral in New York Bay. Narrows
Slide 36: Hillabee Phase 2
Hillabee Phase 2 Project Status: • FERC Order on Feb 2, 2016 and all other permits Zone have been received; 4 • Limited work completed to-date; • Target In-Service Date: Q2 2020. > Point-to-point lease with Sabal Trail from Station 85 to a new interconnect in Hillabee, AL > Leased capacity will be u
Slide 37: Gateway
Gateway > Expansion from the proposed PennEast Pipeline Company interconnect in Mercer County, NJ to the existing Paterson M&R and Ridgefield M&R. > Will be provided under Transco’s FT Service > Capacity: 65 Mdt/d > Shipper(s): PSEG Power (54 Mdt/d), UGI Energy Services (11 MDt/d) 210 Pool Project S
Slide 38: Southeastern Trail
Southeastern Trail > Firm transportation from the existing Zone 5 Pleasant Valley Interconnect with Dominion’s Cove Point Pipeline south to our existing Zone 3 Pool at Zone 6 Station 65. > Will be provided under Transco’s FT Service > Capacity: 296.375 MDt/d > Shipper(s): PSNC, SCE&G, City of Buford
Slide 39: Projects in Development
WE MAKE ENERGY HAPPEN Projects in Development 39
Slide 40: Adelphia Connection Expansion
Adelphia Connection Expansion In Development Martins Creek Terminal From MARC1 on Leidy Lower Mud Run Project Facts: • Path from MARC 1 and a proposed interconnection with Adelphia Gateway Pipeline to markets on Transco's Marcus Hook / Trenton Woodbury Lateral. • Facilities: Potential pipeline repla
Slide 41: South Louisiana Market
South Louisiana Market In Development Contract Path Project Facts: Zone • Path from Transco’s Station 65 to a new interconnect with 3 the methanol facility in St. James Parish, LA. • Facilities: 0.6 miles of 20-inch Greenfield lateral • Capacity: 202 Mdt/d • Proposed ISD: 2021 45 41
Slide 42: Bluebonnet Market Express
Bluebonnet Market Express In Development Waha Supply Header Contract Path Katy Delivery Header Station 30 Station 35 Station 17 Project Facts: Agua Dulce • Greenfield pipeline from the Waha Supply Hub in the Permian basin to the Katy Hub landing area on Transco. • Facilities: 476 miles of Greenfield