(Reuters) – A U.S. appeals court on Friday stopped issuing consents and permits necessary to enable a Morgan’s children (NYSE:) will build a 52-mile natural gas pipeline in Tennessee at the urging of environmental groups.
The proposed Cumberland project, to be built via Kinder Morgan’s Tennessee Gas Pipeline, could transport approximately 245,000 dekatherms per day in addition to energy provider Tennessee Valley Authority.
By a 2-1 vote, the Cincinnati-based 6th U.S. Circuit Court of Appeals reversed the Tennessee Department of Environment and Conservation’s order requiring the Army Corps of Engineers to issue a water quality certificate and permit.
A request to stop the project was filed by environmental organizations Appalachian Voices and the Sierra Club, which argued that the construction of the pipeline could have a harmful impact on the environment.
The court found that the stay was appropriate to allow time to consider the merits of the environmental groups’ case.
He said further arguments in the case would be heard in December.
A Kinder Morgan spokesman said the company disagrees with the court’s decision, which it will continue to review as it evaluates its options.
Appalachian Voices and the Sierra Club did not immediately respond to Reuters requests for comment.
