Marcellus / Shale Daily / Utica

ANR Offering Way Out of Marcellus in Two Open Seasons

ANR Pipeline Co. on Monday announced two open seasons for projects intended to give Marcellus and Utica shale gas a new export option and access to the pipeline's markets in the Midwest and Gulf Coast.

ANR is holding a binding open season through Oct. 22 for its Lebanon Lateral 2014 Reversal Project. The pipeline is holding a separate nonbinding open season through Oct. 23 for its Glen Karn 2015 Project.

Lebanon Lateral would provide capacity from a new receipt point with Dominion Transmission Inc. (DTI) on the Lebanon Lateral at Lebanon, OH. ANR would modify facilities on its system between Glen Karn and its Southeast Mainline near its Sulphur Springs Compressor Station and on its joint ownership capacity in the Lebanon Lateral to allow the flow of gas from DTI at the Lebanon receipt point to points on ANR's system, the pipeline said.

A foundation shipper has subscribed for 100,000 Dth/d of capacity as part of the original project for a 10-year term. The foundation shipper capacity will not be pro-rated as a result of current open season. Any subsequent party that submits a qualifying bid may be pro-rated with other shippers for the remaining capacity being made available, ANR said.

The targeted in-service date of the Lebanon Lateral project is the later of March 1, 2014 or the date facility modifications are placed in-service. If modifications are not in-service by March 1, 2014, ANR can provide interim service from the Lebanon receipt point to existing delivery points on the Lebanon Lateral between Lebanon and Glen Karn. ANR said it will consider bids requesting start dates as early as March 1, 2014 to as late as Nov. 1, 2014.

Modifications will include the installation of valves, yard piping, and other ancillary facilities at Lebanon, Glen Karn and Sulphur Springs to permit bi-directional flow on the lateral. ANR is offering to provide firm service for up to 250,000 Dth/d from the Lebanon receipt point to points on its system.

Separately, the Glen Karn project is designed to provide service on ANR's system from its existing interconnection with Texas Eastern at Glen Karn, OH (the Glen Karn receipt point) to points on its system. The project is being proposed due to the amount of interest ANR has received from parties seeking the ability to deliver gas to ANR from Texas Eastern at Glen Karn by Nov. 1, 2015, the pipeline said.

Nov. 1, 2015 is the targeted in-service date of the Glen Karn project. It is designed to coincide with the targeted in-service date of Texas Eastern Transmission LP's Uniontown to Gas City Project (see Shale DailyAug. 19). ANR is offering to provide firm services for up to 400,000 Dth/d from its interconnection with Texas Eastern at Glen Karn to points on its system.

ANR said it will determine the facilities necessary for the Glen Karn project based on open season results. The facilities could include the installation of compression at or near Glen Karn and/or modifying existing compression at the existing Sulphur Springs Compressor Station and/or other ancillary facilities on ANR's system between Glen Karn and its mainline near its Sulphur Springs Compressor Station.

 Gulf South Pipeline Co. LP recently began offering capacity on a project that would, in part, tap Marcellus gas for Gulf Coast markets (see Shale DailySept. 24).

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