Sept. 26, 2025 — Transwestern Pipeline Co. LLC, a subsidiary of Energy Transfer LP, has secured sufficient binding commitments to move forward with its Desert Southwest Expansion Project, designed to transport growing natural gas volumes out of the Permian Basin.
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Project Scope
The expansion combines new large-diameter pipeline, compression, and metering facilities, capable of transporting at least 1.5 billion cubic feet per day (Bcf/d). Gas will move from multiple Permian receipt points to both existing and new delivery points in New Mexico and Arizona.
Binding Commitments & Open Season
Transwestern confirmed it has already secured the anchor commitments needed to proceed. A new binding open season has been launched, allowing shippers to submit additional commitments. These will influence the final size and design of the project.
Timeline & Regulatory Path
Pending federal and state regulatory approvals, permits, and related authorizations, the Desert Southwest Expansion is expected to be in service by Q4 2029.
Strategic Significance
- Provides a new outlet for Permian gas, helping to relieve constraints at hubs like Waha.
- Strengthens supply into the Desert Southwest, a region with rising natural gas demand for power generation, industrial use, and residential consumption.
- Adds capacity at a time when pipeline takeaway and reliability are critical to balancing U.S. natural gas markets.
