The Energy Department said it would use up to $42 million in Defense Production Act funding for a pipeline recently revived after being canceled in 2020.

Williams, one of the U.S.’s largest pipeline companies, is behind the proposed 125-mile natural gas pipeline from Susquehanna County, Pennsylvania, to Schoharie County, New York. The Trump Administration says the project will bring gas to the Northeast that has limited to access to low-cost fuel.

The pipeline has struggled to get necessary permits from New York regulators. In 2016, the New York Department of Environmental Conservation denied Williams a Clean Water Act permit because the company failed to give the agency required information proving that water quality would not be harmed. The project also faced staunch opposition from landowners along the route.

Williams canceled the projected in 2020 after years of legal and regulatory battles, but brought the project back in 2025 after receiving support from President Donald Trump. In January, state Department of Environmental Conservation officials filed their opposition to the project, saying Williams is trying to “bypass critical environmental reviews and undercut New York State’s regulatory authority.”

The Energy Department said the $42 million in defense funding would support “eligible pre-construction and permitting activities necessary to advance the project.” The department’s press release does not explain why Williams needs taxpayer funding, especially with the company’s profits increasing due to soaring energy costs from Trump’s war with Iran.

A May press release from Williams says the company had “record first-quarter 2026 results,” with another announcement in August of a “strong second-quarter 2026.” The company’s share price is up more than 30 percent compared to last year.