Honeoye Storage Corp. has received FERC approval to expand itswestern New York sandstone storage facility to provide anadditional 1.8 Bcf of firm service capacity under market-basedrates. Honeoye plans an open season to start before the end of Juneand run through July.

Currently the field provides 4.8 Bcf of long-term,cost-of-service storage to New York and New England utilities. The$3 million expansion will be accomplished by increased pressure.Honeoye plans to upgrade compressors and pipes in two phases,offering about 750 MMcf of new storage capacity during the 2000-01season, going to 1.8 Bcf by the 2001-02 season.

David Donohue, president of Honeoye, said injections will beginin early August. The market-based storage will have an initialwithdrawal rate of 9.5 MMcf/d, going to about 15 MMcf/d in thesecond stage.

“Honeoye will provide all required cushion gas and any capacitynot taken in the open season will be offered on an interruptiblebasis,” Donohue said.

The Honeoye Field, located south of Rochester, NY, beganoperations in 1975 and continues to serve five of its originalcustomers. The facility interconnects with the pipelines of bothTennessee Gas and New York State Electric & Gas. Customerscommitting to the new firm service will need to make their owntransportation arrangements to and from the Honeoyeinterconnections.

For details on the open season contact Donohue at 617-536-0202.The Honeoye facility is owned by an affiliate of KeySpan Energy,Consolidated Energy Co. of New York, Inc., and trusts set up by itsthree developers: Dave Donohue, Dick Norman and Jacek Makowski.

Ellen Beswick

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