Among its many pipeline expansion certificates issued last week, FERC granted Missouri Interstate Gas LLC permission to take control of an existing, but idle, crude oil pipeline in Missouri and turn it into a natural gas pipeline.

Missouri Interstate will take control of the oil pipeline from its parent company, United Pipeline Systems Inc., and hook up the pipeline’s western end with Missouri Pipeline Co. (MPC) and its eastern end with the East Line facilities of Mississippi River Transmission Corp. (MRT) via a one-mile pipeline extension. Once in service, the line will transport up to 20 MMcf/d of natural gas into Missouri from Illinois.

In conditionally approving the move, the Federal Energy Regulatory Commission said it finds the project in the public interest because it will “provide Missouri customers the opportunity to diversify their gas supply options with the installation of minor pipeline facilities and a minimal impact to the environment.”

Originally built in the 1940’s by Amoco, the oil pipeline was in operation until the 1980’s when Amoco discontinued crude oil transportation service and sold it. Part of the line was converted to natural gas and operated by MPC, a Missouri-regulated pipeline owned by UtiliCorp Pipeline Systems Inc. The unused part — the section Missouri Interstate plans to put into operation — was separated from the converted portion and decommissioned.

Missouri Interstate said it will operate the 5.6-mile, 12-inch diameter pipeline, which extends from a point at the edge of the Mississippi River in Madison County, IL, under the river to a point five miles west in St. Charles County, MO. It proposes to offer both firm and interruptible open access transportation. The company said it anticipates it will have precedent agreements for “slightly more than 50% of its existing capacity at the time of commencement of service but not less than 35%.”

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