Natural gas transmission projects to drive Williams’ growth in 2024

(UI) – Williams announced its unaudited financial results for the three and 12 months ending on December 31, 2023. The report indicated continued strength in the base business, which is driving higher financial results.

In 2023, Williams achieved a record gathering volumes of nearly 18 Bcfd and contracted transmission capacity of 32.3 Bcfd – up 6% and 32%, respectively, from 2022. Additionally, transmission projects will driving additional business growth in 2024-25. Strategic acquisitions add highly contracted take-or-pay transmission and fee-based storage assets

Highlights include:

• Pre-filed FERC application for Transco's 1.6 Bcf/d Southeast Supply Enhancement 1Q 2024
• Received FERC certificates for Transco's Commonwealth Energy Connectors, Southside Reliability Enhancement, Southeast Energy Connector and Texas to Louisiana Energy Pathway
• Placed Transco's Carolina Market Link in service in 1Q 2024
• Placed phase one of Transco's Regional Energy Access expansion in service in 4Q 2023 ahead of schedule with remainder expected by 4Q 2024
• Completed Cardinal and Susquehanna gathering & processing expansions in 4Q 2023
• Acquired 115-Bcf natural gas storage portfolio, positioning Williams as the largest storage owner on the Gulf Coast as storage spreads and natural gas volatility continue to expand
• Optimized DJ Basin position with transactions to enhance natural gas and NGL value chain
• Added more than 8 Bcf/d of transmission capacity and 56 Bcf of gas storage with MountainWest acquisition in the Rockies serving western markets

Alan Armstrong, president and chief executive officer, said, “Our natural gas-focused strategy delivered excellent financial results again in 2023 with contracted transmission capacity, gathering volumes and Adjusted EBITDA surpassing previous highs, demonstrating our ability to grow despite low natural gas prices. We expect this strong performance to continue in 2024 and have set our Adjusted EBITDA guidance midpoint at $6.95 billion, paving the way for what we anticipate will be a breakout year in 2025 as several large fee-based projects come online.

"In addition to outstanding financial results in 2023, we acquired strategic natural gas transmission, gathering and storage assets in the Rockies and on the Gulf Coast, enhancing our footprint in key areas and adding highly contracted take-or-pay transmission and fee-based storage assets to our business. We also continue to expand our existing infrastructure with 18 high-return projects in execution, including approximately 3.1 Bcfd of expansions on Transco coming online over the next few years.”

Armstrong added, “Looking ahead, Williams is excited to provide additional natural gas solutions to support the reliability of the U.S. power sector as it faces growing regional demand driven in large part by the emergence of new, large-scale data centers that are accelerating throughout our key markets. With the buildout of electrification and renewables, as well as previously permitted LNG export growth, Williams will be there to provide additional natural gas baseload to ensure reliability. Our infrastructure today is vital to meeting the energy needs of tomorrow. Natural gas is an immediate and scalable climate solution to reduce global emissions and serve the growing need for energy security, while creating long-term value for our shareholders.”

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