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Gulfstream Commences 400,000 Dth/d of Firm Service for FPL, Progress Energy

With its Phase II pipeline extension completed in February, Gulfstream Natural Gas System LLC said last week that it has commenced 350,000 Dth/d of incremental firm natural gas transportation service for Florida Power & Light (FPL).

As a 110-mile extension to Florida's east coast, Gulfstream Phase II was completed and placed into service in February (see NGI, Feb. 7). The Phase II facilities are part of a 23-year agreement for Gulfstream to provide up to 350 MMcf/d of natural gas transportation to serve FPL's new gas-fired facilities at the Martin and Manatee power plants (see NGI, July 28, 2003).

Gulfstream also said that on June 1 it began new, long-term firm service for 50,000 Dth/d under a previously executed agreement with Progress Energy to serve power plants at the company's Hines Energy Complex near Bartow, FL.

"These two contracts represent an important milestone in Gulfstream's ultimate build-out into central and southern Florida markets," said Brad Reese, Gulfstream vice president. "With the initiation of this long-term firm service, as of June 1, 2005, Gulfstream's near 1.1 billion cubic feet per day system is now subscribed at over 700 million per day -- more than doubling the previous level of firm service. The growth in our firm capacity subscription and our customer support validates our view that this pipeline is a key link in the Florida energy network."

The 691-mile Gulfstream system originates near Pascagoula, MS, and Mobile, AL, crossing the Gulf of Mexico with more than 430 miles of 36-inch diameter steel pipe to Manatee County, FL. Once onshore, 240 miles of 30 to 36-inch-diameter mainline crosses Manatee, Hardee, Polk, Osceola, Highlands, Okeechobee and Martin counties of Florida.

Gulfstream Natural Gas System is a joint venture between Williams and Duke Energy.

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