Maritimes & Northeast Pipeline of Halifax, Nova Scotia, and Waltham, Mass., is proposing to increase its natural gas capacity into the Northeast. According to a press release issued by the company, the $240 million expansion project, termed Phase V, calls for adding compressor stations and a section of new pipe along a 330-mile stretch of existing pipeline.

The latest section will be four miles long and run through sections of Maine. This will enable the energy company, which also has facilities in Greenland, N.H., to transport new natural gas supplies from Calgary, Alberta headquartered EnCana Corp.’s planned Deep Panuke project, located off the coast of Nova Scotia, to the northeastern United States and Atlantic Canada.

Maritimes has signed a commercial agreement with a subsidiary of EnCana to transport up to 170,000 dekatherms per day (Dth/d) year-round as well as an additional 30,000 Dth/d during the winter months. Company officials said that, by enhancing existing facilities, there will be less of an impact to landowners, communities and the environment.

“With direct access to the Northeast, the Maritimes system is the ideal route to bring new volumes of offshore supply to markets where demand continues to grow,” said Tina Faraca, president of Maritimes & Northeast Pipeline. “The Phase V Project will be sized and timed to meet our customers’ needs by efficiently and economically expanding our existing system. By optimizing our existing infrastructure, we are best positioned to respond with cost-effective projects that support the need for new long-term transportation capacity.”

The company said it expects the pipeline to be in service by November 2010.