Oct 11 (Reuters) - A U.S. appeals court on Friday put on
hold approvals and permits necessary to allow a Kinder Morgan ( KMI )
subsidiary to construct a 32-mile gas pipeline in
Tennessee, at the urging of environmental groups.
The proposed Cumberland Project, set to be constructed
by Kinder Morgan's ( KMI ) Tennessee Gas Pipeline, could transport about
245,000 dekatherms per day of additional natural gas to power
supplier Tennessee Valley Authority.
On a
2-1 vote
, Cincinnati-based 6th U.S. Circuit Court of Appeals put a
hold on the Tennessee Department of Environment and
Conservation's order issuing a water quality certification and
the Army Corps of Engineers' issuance of a permit.
The request for a stay was filed by environmental
organizations Appalachian Voices and Sierra Club, which claimed
the pipeline's construction could have detrimental impact on the
environment.
The court said a stay was appropriate for it to have the
time to consider the merits of the environmental groups' case.
It said further arguments in the case would be heard in
December.
A Kinder Morgan ( KMI ) spokesperson said the company does not agree
with the court's decision, which it will continue to review
while evaluating its options.
Appalachian Voices and Sierra Club did not immediately
respond to Reuters' requests for comment.