There has been a significant amount of discussion lately about additional line rights, especially in conjunction with Sunoco's Mariner East II Project. A question many people are asking is "what is an additional line right" and what does it mean to me.
As many may be aware, Governor Wolf established a pipeline infrastructure task force to assist in developing policies and guidelines regarding pipeline development and pipeline operation and maintenance in Pennsylvania. This task force was established to create a series of best practices in order to reduce the environmental and community impact, to engage in meaningful public participation, and to ensure pipeline safety and integrity. The members of the task force were recently selected and identified in July, 2015 with the task force having its first meeting on July 22, 2015. Based upon the information presently known, it appears that the task force is scheduled to conduct monthly meetings with a deadline to present their final report to Governor Wolf in February, 2016. As we learn further information about the task force and/or its efforts in this regard, we will post further updates.
During a recent public meeting, Sunoco released information about a possible plan for a third pipeline. As many are aware, Sunoco has been utilizing a pipeline which was placed into service in the mid 1930's. More recently, Sunoco started the process to construct a second pipeline referred to as Mariner East II. Sunoco is still in the process of acquiring the necessary right of ways for the Mariner East II Project. During the recent meeting, however, Sunoco advised that they are considering building two parallel pipelines as part of the Mariner East II Project while the original plans only contemplated one line as part of the project. That second line is the third line which is presently under consideration. Based on the most recent information of which we are aware, the third pipeline is not yet confirmed. Rather, Sunoco advised that, as of the meeting, they were still in the process of determining whether they have sufficient commitments to warrant the installation of the third line. Nevertheless, as a third pipeline is a possibility, we caution property owners to be cognizant of the easement and right of way terms proposed to them by Sunoco. The terms of the easement agreement will dictate whether any additional compensation is due or required if the additional line is sought or placed.