BP, Chevron, Shell and others are expected to bid on US natural-gas lease in the Alabama Department of Natural Resources’ proposed natural gas pipeline.
The bidding process is set to begin next week and could result in the companies securing the lease for the first time.
“The pipeline would bring significant economic benefit to the state of Alabama,” the agency said in a news release Tuesday.
The natural-Gas Line, which runs under Alabama’s Great Smoky Mountains National Park, is part of a $2.6 billion federal program to help states and communities get natural-resources leases.
“In order to get this project off the ground, the federal government has been working closely with the states,” said the news release.
“It’s clear the federal and state governments have a shared goal in moving this project forward.”
The pipeline would carry natural- gas to the Gulf of Mexico.
BP, the world’s biggest oil company, will likely get the lease.
Chevron is also expected to get the $2 billion lease.
In August, the companies secured an additional $1 billion in federal financing to complete construction on the pipeline.