Texas Gas Transmission LLC (TGT) is asking FERC for a two-year extension to finish and bring online the last of its Northern Supply Access Project, designed to carry natural gas from the northern end of its system to Midwest and southern markets.
In a request submitted late last week to the Federal Energy Regulatory Commission, TGT asked for an extension to March 24, 2020, to finish placing parts of Northern Access into service. The request would be a two-year extension of the original March 24, 2018, deadline specified in its certificate order issued last March [CP15-513].
As approved by FERC, the project includes modifying eight existing compressor stations along the existing TGT line and constructing a compressor station, with total firm capacity expanding by 384,000 MMBtu/d.
However, TGT has informed FERC that one of the project shippers signed up for firm transportation filed for bankruptcy, which leaves the seven remaining shippers signed up for 284,000 MMBtu/d. TGT placed into service on March 2 the capacity needed to serve the seven shippers.
TGT has continued to remarket the remaining 100,000 MMBtu/d, but “it has not yet signed a new contract for that capacity," it told FERC. "The facilities for which Texas Gas is requesting an extension of time to construct and place in service are only necessary for the as-of-yet uncontracted-for capacity."
Specifically, TGT is asking for an extension to:
Install 9,688 hp of compression at its Crosby (formerly Harrison) Compressor Station;
Add gas cooling equipment at the Dillsboro Compressor Station;
Replace a compressor unit and reclassify existing reciprocating compressors at the Bastrop Compressor Station; and
Install yard and station piping modifications to add bi-directional flow capabilities at its Clarksdale Compressor Station.
"Given the lead time in ordering materials and constructing these facilities, even if Texas Gas were to sign an agreement with a shipper for the unsubscribed capacity in short order, Texas Gas would still need an extension of time to make these facilities available for service by March 24, 2018, as required by the certificate order," the company wrote.