The Williams Companies, Inc. has filed a lawsuit against Energy Transfer LP, alleging that the latter has intentionally obstructed the construction of Williams’ Louisiana Energy Gateway (LEG) pipeline project.

Williams CEO expressed concern over the potential risks and delays associated with the legal battle. The company contends that Energy Transfer’s actions could set a dangerous precedent, undermining industry norms and fair competition.

The dispute centers around the construction of the 1.8 billion cubic feet per day LEG pipeline in northern Louisiana, a critical project for Williams to strengthen natural gas supply to upcoming LNG export terminals.

A key point of contention is the crossing of ET’s Tiger pipeline, situated in the Haynesville shale. Energy Transfer has objected to the crossing, citing excessive risks. Williams, however, argues that these objections are less about technical concerns and more about market control.

Energy Transfer also attempted to influence federal regulators to classify the LEG pipeline as an interstate transmission line, subjecting it to stricter oversight. However, the Federal Energy Regulatory Commission rejected this request in September 2024.

Williams emphasized that the lawsuit is not just about the immediate dispute. The company seeks to establish a cooperative industry environment where companies can work together while maintaining healthy competition.

Despite winning multiple legal battles and obtaining necessary permits, Williams has faced significant setbacks. The in-service date for the LEG pipeline has been pushed back from late 2024 to the latter half of 2025 due to litigation-related delays.