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Stagecoach Storage Seeks to Double Working Gas Capacity

Central New York Oil and Gas Co. LLC (CNYOG), an Inergy LP subsidiary, has filed an application at FERC to nearly double the working gas capacity of its Stagecoach Storage facility in southwestern New York State.

The Phase II expansion proposes to add 13 Bcf of working storage capacity to the existing 13.6 Bcf facility in Tioga County, NY. The project would include 12,000 horsepower of additional compression, approximately six miles of 20-inch diameter mainline, and a nine-mile, 24-inch diameter North Lateral that would connect with the proposed Millennium Pipeline. The existing Stagecoach facility is connected to the Tennessee Gas Pipeline system.

The project garnered significant shipper interest during a nonbinding open season that ended in December. Shipper interest exceeded 200% of the available field inventory capacity of 13 Bcf and 300% of available deliverability, according to CNYOG. Those expressing interest included local distribution companies, gas-fired generators and third-party marketers, many of whom do not participate in the existing storage field, it said.

Inergy said it plans to begin construction of the expanded facility soon after receiving permission from the Federal Energy Regulatory Commission, with full commercial operation planned for the fourth quarter of 2007.

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