Energy Transfer plans $5.3B Southwest gas pipeline

By Mike Soraghan | 08/07/2025 06:31 AM EDT

The developer behind Dakota Access is seeking a major pipeline expansion from West Texas to Arizona.

Condos and apartments give way to the Phoenix skyline.

Condos and apartments give way to the Phoenix skyline. A new pipeline project is slated to send natural gas from West Texas to Arizona to help meet rising energy demand. Ross D. Franklin/AP

One of the country’s biggest pipeline companies announced Wednesday that it wants to build a 516-mile natural gas pipeline from West Texas to Arizona, adding to a list of proposed energy projects as President Donald Trump promotes the use of fossil fuels.

Energy Transfer, which is best known for developing the Dakota Access oil pipeline in the Upper Midwest, described its new Desert Southwest project as a $5.3 billion expansion of its Transwestern system.

The line is slated to run along existing pipeline routes, the company said, and the project is expected to be completed by the end of 2029. In its announcement Wednesday, Dallas-based Energy Transfer said the project is needed to serve “population growth, high-tech industry demand and data center expansion.”

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Utilities in Arizona have announced commitments to take gas from the 3-½-foot-wide pipeline. And business leaders greeted the proposal with enthusiasm.

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