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Williams Launches Open Season for Parachute Lateral

Williams late Wednesday launched an open season for a new supply lateral on its Northwest Pipeline system that would provide additional natural gas transportation capacity for expected Piceance Basin production in Colorado. The open season extends through Dec. 21, and it supplements one that ended Nov. 18.

As currently proposed, the $55.2 million Parachute Lateral Project would include 38 miles of 30-inch diameter pipeline between Parachute, CO, and the Greasewood Hub.

Northwest has received a commitment from its power affiliate to take 450,000 Dth/d of transportation capacity for a 15-year term. If there are other interested parties as a result of this open season, Williams will reconsider the design of the Parachute Lateral Project.

"We are extremely pleased that Northwest will be constructing significant new pipeline capacity to transport the increased supplies in the Parachute areas to the developing Greasewood Hub," said Phil Wright, senior vice president of Williams' natural gas pipeline business. "The Parachute lateral will provide a key link to the tremendous growth in Rockies production."

Based on the level of commitments, Williams will determine the final design, costs and rates for the expansion project. Subject to the necessary approvals, service is expected to be available by January 2007.

For additional information, contact Hank Henrie at (801) 584-6625 or Larry Larsen at (801) 584-6645.

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