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Petal Gas Plans Open Season for Storage, Pipe Capacity

Enterprise Products Partners LP last Monday said its subsidiary, Petal Gas Storage LLC of Petal, MS, will hold a non-binding open season for up to 5 Bcf of firm natural gas storage capacity that is expected to be available in the fourth quarter of 2007. The company also will hold a concurrent non-binding open season for up to 500 MMcf of firm transportation on its mainline pipeline (Line 100).

The open season will begin at 9 a.m. (CST) on March 17 and will end at 3 p.m. (CST) on April 13, according to Houston-based Enterprise Products. Those interested in bidding on available capacity must complete a request for storage service form and/or a request for transportation service form, which can be obtained from Russ Kovin at (832) 676-5659 or RKovin@eprod.com.

Petal Gas Storage last week received authorization from the Federal Energy Regulatory Commission (FERC) to construct the additional storage capacity, as well as to increase the daily throughput capacity on the Petal Pipeline to 1.3 Bcf/d from 700 MMcf/d, and uprate the compressor units at its Heidelberg Compressor Station in Jasper County, MS, from 9,000 horsepower to 9,442 hp.

Petal Gas Storage proposes to increase the capacity of Line 100 without construction of any additional pipe facilities and without increasing Line 100's maximum allowable operating pressure (MAOP). The proposed boost in capacity would be accomplished by increasing the MAOP of Petal's storage header pipeline, which interconnects with Line 100 at its southern terminus in Forrest County, MS.

The Petal Gas Storage facility has bi-directional interconnects with Tennessee Gas Pipeline, Gulf South Pipeline, Hattiesburg Gas Storage and the Petal Pipeline. Via the Petal's Line 100, a 60-mile takeway line between Petal and Enterprise, MS, there are additional bi-directional interconnects with Transcontinental Gas Pipe Line, Southern Natural Gas and Destin Pipeline, providing access to key markets in the East.

Enterprise Products indicated that Petal Gas Storage also is considering requests to access Florida Gas Transmission and Gulfstream Natural Gas, pipelines that serve the Florida natural gas market.

In February 2003, FERC authorized Petal Gas Storage to convert Cavern No. 3 to natural gas storage from brine storage, and to construct a new cavern (No. 8). The construction of Cavern No. 8 has not begun yet, and the conversion of Cavern No. 3 is nearing completion, according to last week's FERC order [CP04-424]. When Cavern No. 8 is complete, Petal's storage facility will have a total working gas capacity of 17.5 Bcf/d with a withdrawal capacity of 1,665 MMcf/d, it said.

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