Spectra Energy seeks court OK for Pa. facility

CLEARVILLE, Pa. (AP) — Spectra Energy, a Houston-based natural-gas company, is seeking court approval to build a storage facility in western Pennsylvania after failing to negotiate a deal with property owners.

Landowners opposed to the facility have persuaded the Federal Energy Regulatory Commission to reconsider its approval of the Clearville project. A spokeswoman, Barbara Connors, confirms the commission will rehear the case to consider the issues they have raised.

The residents fear the loss of potential royalties from natural-gas reserves that could be extracted from the Marcellus Shale, a section of rock along the East Coast believed to hold large amounts of untapped gas.

Spectra’s planned facility would include 23 storage wells and a compressor station. A pipeline network of several miles would connect to the facility. Spectra wants the facility up and running by April.

Wendy Olson, a Spectra spokeswoman, said the company turned to the court as a precaution, but still hopes to reach a deal with the property owners.

“Even though we’ve filed with the courts, landowners still have the opportunity to negotiate,” Olson said.

Paul Stup, a property owner opposed to the facility, said a representative from Mason Dixon Energy was interested in exploring his land for potential reserves, but dropped the idea when they heard about the planned storage facility.

“They lost interest pretty quick,” Stup said. “They walked away.”