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ANR Tests Market for 70 Bcf of Storage, Transportation Service

ANR Pipeline Co. said it is holding a nonbinding open season for up to 70 Bcf of working gas storage capacity and associated firm transportation in its ML-7 Zone to Lebanon, OH, and other potential delivery points along its southeast mainline between the Gulf Coast and Willow Run, a Michigan Consolidated receipt and delivery point in Michigan. The open season will close on Aug. 18.

ANR said the project may involve the use of existing as well as incremental storage and pipeline facilities. The company would not reveal which of its operating storage field(s) could be expanded or where a new field could be developed.

The project would allow shippers to deliver gas into existing pipelines and markets in zones SE, ML-2, ML-3 and part of ML-7 as well as recently proposed pipeline projects, including Tennessee Gas Pipeline's Northeast Expansion Project, in the vicinity of ANR's Lebanon Hub in southwestern Ohio. Service is expected on April 1, 2009.

ANR said it may use negotiated, market-based or cost-based rates for service with minimum terms of 10 years and maximum term up of 20 years. Service requests must be made for periods of whole years only.

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