Southern Seeks Expansion Approval at FERC
El Paso Energy's Southern Natural Gas pipeline last week filed
an application at FERC seeking to expand its South Main system by
about 336 MMcf/d to serve utility power plants in North Carolina
and other southeastern markets.
The proposed South System Expansion calls for the construction
of about 73 miles of pipeline looping and the addition of more than
34,000 horsepower of compression along Southern Natural's system in
Mississippi and Georgia for an estimated cost of $147 million, said
spokesman Mel Scott. The expansion, for which the pipeline is
seeking rolled-in treatment from FERC, has a targeted in-service
date of June 2002.
The entire capacity of the project has been subscribed under
15-year firm transportation agreements with Southern Company, a
major power generation producer; Scana Corp.'s South Carolina
Pipeline Corp.; and the city of LaGrange, GA.
Southern Natural's proposed expansion would tie in with South
Carolina Pipeline's plans to extend its system by 300 miles to
serve three new 200 MW power plants, three ethanol production
facilities and a new fiber optic cable in North Carolina.
"We have served an increasing number of gas-fired peaking plants
over the past few summers, but this expansion will serve the first
significant baseload power plants on Southern Natural that will run
year-round," said Southern Natural President Jim Yardley. The
project represents a "significant growth opportunity" for Southern
Natural in the southeastern power generation market, he noted.
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