NGI The Weekly Gas Market Report / NGI All News Access

Tetco Nears Startup of REX-Related Expansion

FERC Friday approved a request of Spectra Energy's Texas Eastern Transmission (Tetco) pipeline to place into service its Northern Bridge facilities to deliver Rocky Mountain natural gas to Mid-Atlantic and New England markets.

The expansion includes the installation of new compression facilities on the Tetco system to transport up to 150 MMcf/d on a firm basis from the Clarington, OH, supply point, which is the terminus of the 1,678-mile Rockies Express Pipeline (REX), to the Oakford/Delmont, PA, region, giving Rocky Mountain producers access to several interstate pipeline and storage options (see NGI, Jan. 5).

Tetco has increased compression at two of its existing compressor stations in Pennsylvania -- Holbrook Compressor Station in Greene County and Union Compressor Station in Fayette County -- by a total of 10,666 hp.

Following an open season in 2007, Tetco said it entered into precedent agreements with BP Energy Co. and Merrill Lynch Commodities Inc. for the entire capacity of the project for terms of 10 years at negotiated rates.

In addition to Northern Bridge, the Federal Energy Regulatory Commission (FERC) in September gave a favorable environmental assessment (EA) to two related Tetco expansions (see NGI, Sept. 14).

The Texas Eastern Market Area Crossing project would provide an additional 395,000 Dth/d of transportation from a receipt point with the REX system in Clarington to an interconnect with Transcontinental Gas Pipeline (Transco) in York County, PA. The final phase of the REX line is expected to be completed and in service in November.

The Texas Eastern Incremental Market Expansion III project would provide additional capacity of 60,000 Dth/d from a receipt point in Oakford to the same interconnect with Transco. The projected in-service date for both expansions is November 2010, according to Tetco.

The projects call for the replacement of 25.9 miles of various diameter pipeline, construction of 9.6 miles of loop, the construction of a 26.5-mile pipeline lateral, the addition of 85,633 hp of compression at four existing compressor stations and the abandonment of 9,500 hp at one compressor station, the EA said.

©Copyright 2009 Intelligence Press Inc. All rights reserved. The preceding news report may not be republished or redistributed, in whole or in part, in any form, without prior written consent of Intelligence Press, Inc.

Comments powered by Disqus