Williams Companies Files Lawsuit to Protect Pipeline Project

The Williams Companies, Inc. WMB has filed a big lawsuit against industry rival Energy Transfer LP ET accusing it of the alleged obstructions leading to delay in Williams’ Louisiana Energy Gateway (LEG) pipeline project. William’s chief executive highlighted the probable risks of the case along with delaying its project deadline, threatening to disrupt the industry norms and fair competition.An Insight Into the DisputeThe reason behind the dispute was the construction of the 1.8 billion cubic feet per day LEG pipeline in northern Louisiana, a project important to meet WMB's vision of strengthening gas supply for upcoming LNG export terminals. WMB’s pipeline under this project would have crossed under ET’s Tiger pipeline, situated in the Haynesville shale, which was objected to by ET, citing concerns of excessive crossings. Meanwhile, Williams argued that these refusals were less based on technical factors and more based on market control.Energy Transfer also tried to influence the federal regulators to classify LEG as an interstate transmission line, subjecting it to stricter supervision, but the Federal Energy Regulatory Commission dismissed the request in September 2024.WMB Seeks PrecedentWMB said that the lawsuit is beyond the immediate dispute. The company seeks a cooperative nature among pipeline industries where all the companies can work collaterally with healthy competition.Despite winning multiple legal battles and obtaining the necessary permits, Williams suffered significant setbacks. The LEG pipeline’s in-service date shifted from late 2024 to the latter half of 2025 due to delays caused by litigation.WMB’s Zacks Rank and Key PicksOklahoma-based The Williams Companies, a premier energy infrastructure provider in North America, is currently holding a Zacks Rank #3 (Hold).Investors interested in the energy sector might look at some better-ranked stocks like Flotek Industries, Inc. FTK and Nine Energy Service, Inc. NINE.Flotek Industries and Nine Energy Service each carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.Flotek Industries develops and delivers prescriptive chemistry-based technology, including specialty chemicals, to clients in the energy, consumer industrials and food & beverage industries. The Zacks Consensus Estimate for FTK’s 2024 earnings indicates 125% year-over-year growth.Houston, TX-based Nine Energy Service, Inc. provides onshore completion and production services to unconventional oil and gas resource development. NINE’s expected EPS (earnings per share) growth rate for the current quarter is 33.33%, which aligns favorably with the industry growth rate of 9.93%.Only $1 to See All Zacks' Buys and SellsWe're not kidding.Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent.Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators,and more, that closed 228 positions with double- and triple-digit gains in 2023 alone.See Stocks Now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Williams Companies, Inc. (The) (WMB): Free Stock Analysis Report Energy Transfer LP (ET): Free Stock Analysis Report Flotek Industries, Inc. (FTK): Free Stock Analysis Report Nine Energy Service, Inc. (NINE): Free Stock Analysis ReportTo read this article on Zacks.com click here.Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks