Crossroads Plans Expansion, Link to NGPL, N. Border
NIPSCO Industries, Inc. subsidiary Crossroads Pipeline is
shooting for a 300% increase in system throughput with an extension
of its Midwest pipeline system to new interconnects with Northern
Border Pipeline and Natural Gas Pipeline Company of America.
Crossroads plans to hold an open season for an additional 500,000
Dth/d of firm transportation services beginning Feb. 16 and
concluding March 31. The system currently transports about 150,000
Dth/d from a connection with NGPL in Schererville, IN, to a
connection with Columbia Gas at Maumee, OH.
"I still believe there's an eastbound project to be had," said
John Fortman, a spokesman for the pipeline. "What we're trying to
do here is position ourselves in Chicago." He said most other
eastbound pipeline projects out of Chicago were premature, but the
timing and the economics were right for this Crossroads expansion.
The $35-$45 million expansion is not expected to increase
Crossroads existing FT rate, which is $0.1093/Dth. Pending market
commitments and federal regulatory approval, services could begin
as early as November 2000.
"This expansion will enhance NI's strategy to link the growing
Midwest and New England market centers," said Dan Gavito, vice
president of NI Energy Services.
The expansion project would involve the addition of 25 miles of
30-inch diameter pipe to new interconnects with NGPL's pipeline
system and Northern Border's proposed extension at North Hayden,
Crossroads already tested the market for about a year with
another proposed expansion involving CNG and its subsidiary East
Ohio Gas, but had few takers.
For additional information on the Crossroads open season,
contact John Fortman at 219-647-5681.
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