Great Basin Gas Transmission Company Announces Expansion Progress
Strong interest reinforces the need for increased energy infrastructure investment in the region as Southwest Gas pursues long-term energy solutions.
Great Basin Gas Transmission Company, a wholly owned subsidiary of Southwest Gas Corporation, recently announced the conclusion of its Second Supplemental Open Season for the 2028 Expansion Project. This announcement comes as a bolstering sign of demand for expanded natural gas services across Northern Nevada.
The Second Supplemental Open Season opened on November 11, 2025, as a follow-up to earlier Open Seasons conducted this year. This initiative provided potential shippers with the opportunity to submit binding requests, fine-tune their capacity needs, explore alternative in-service dates, and assess the final scope of the expansion project to cater to the growing energy demands in Northern Nevada.
According to Karen S. Haller, President and Chief Executive Officer of Southwest Gas Holdings, the increasing demand for dependable and flexible natural gas transportation in Northern Nevada is evident, as reflected by the signed agreements. "We are eager to work closely with our shippers as we progress through the FERC pre-filing process and align our infrastructure strategies with the energy needs of the region," she stated.
Open Season Insights and Potential Developments
Pending approval from the Federal Energy Regulatory Commission (FERC) to begin construction and operation for the project, the Company anticipates several key outcomes:
- Capacity requests nearing 800 million cubic feet each day.
- An estimated capital investment around $1.7 billion.
- Forecasted spending allocations of roughly 20% in 2026, 25% in 2027, and 55% in 2028, with projected service commencement on November 1, 2028.
- Projected annual incremental margins reaching approximately $215 million to $245 million following the project’s completion.
These projections remain preliminary and will depend heavily on the actual costs incurred during construction. Currently, the Company is not altering its existing financial guidance and will wait to provide future updates until the project is integrated into its operational framework, which will occur during its fourth-quarter earnings conference call expected in February 2026.
Regional Significance of the Expansion
The proposed project aims to significantly enhance the availability of reliable, on-demand energy across Northern Nevada. This improvement will bolster the services that Great Basin offers through its existing 898-mile transmission network, which traverses from the Idaho-Nevada border toward the Reno-Sparks/Carson City area, and extends to Lake Tahoe. This expansion is set to address the rising demand from regional centers and foster continued economic development throughout the state.
About Great Basin Gas Transmission Company
Previously known as Paiute Pipeline Company, Great Basin Gas Transmission operates as a wholly owned subsidiary of Southwest Gas Corporation. The company manages an extensive interstate pipeline system stretching from the Idaho-Nevada border down to the Nevada-California boundary, which includes a liquefied natural gas facility designed for peak shaving near Lovelock, Nevada. As a regulated entity, Great Basin operates under the guidance of the Federal Energy Regulatory Commission per the Natural Gas Act.
About Southwest Gas Holdings, Inc.
Through its primary operating arm, Southwest Gas Corporation, Southwest Gas Holdings, Inc. is dedicated to the purchase, distribution, and transportation of natural gas. As an innovative energy provider, Southwest Gas Corporation is committed to exceeding the expectations of more than 2 million customers throughout Arizona, Nevada, and California. The company prioritizes safe, reliable service while continuously innovating sustainable energy solutions to support the growth and development of its communities.
Frequently Asked Questions
What is the aim of the 2028 Expansion Project?
The 2028 Expansion Project aims to enhance the capacity and reliability of natural gas transportation in Northern Nevada to meet growing energy demands.
How much capital is estimated for the expansion?
The estimated capital investment for the project is approximately $1.7 billion.
When is the projected in-service date for the project?
The expected in-service date for the project is November 1, 2028.
What potential annual incremental margin might the project generate?
The project may potentially yield an annual incremental margin of around $215 million to $245 million.
Who is the parent company of Great Basin Gas Transmission?
Great Basin Gas Transmission is a wholly owned subsidiary of Southwest Gas Corporation, part of Southwest Gas Holdings, Inc.