Texas Eastern Transmission Corp. (Tetco) is holding open seasonfrom Dec. 11 to Jan. 12 for a pipeline expansion in its M3 marketarea in the Mid-Atlantic and Northeast. The project will combineexisting unsubscribed capacity with incremental firm capacity tocreate a low-cost expansion option for Texas Eastern shippers, thepipeline said.

During the open season, shippers can submit non-bindingnominations to move gas from the Gulf Coast, Chicago/Lebanonlateral and other receipt points on the Tetco system to deliverypoints in the Northeast. By utilizing existing capacity thatinitially served Midwest markets, Texas Eastern’s IncrementalMarket Expansion (TIME) will enable the pipeline to reconfigure itsexisting pipeline system and with modest additions to existingfacilities (compression and looping in M3) provide significantincreased capacity to Mid-Atlantic and Northeast markets atexisting approved rates.

There will be enough unsubscribed capacity available to packagewith incremental requests to deliver 300 MMcf/d in M3 at theexisting rates, said Duke Energy’s Robert Riga. “That would be themaximum that we could do at the existing rate level. If we get overthat 300 MMcf/d, we would probably feel some pressure to have toput in a higher rate than the current max rate.”

Robert B. Evans, president of Duke Energy Gas Transmission,called the project a “unique market solution that will allow ourshippers to subscribe for additional capacity from liquid supplypoints on the Tetco system at the same competitive rate as imbeddedcapacity. By reconfiguring existing unsubscribed capacity to meetcustomers’ needs, Tetco can efficiently deliver cost-effective andflexible services even at lower volumes. There is no largethreshold requirement.”

In recent years, the Northeast and Mid-Atlantic markets haveexperienced renewed growth in traditional markets as well as theconstruction of new electric generation.

“By redirecting existing capacity and reducing, to the greatestextent possible, its reliance on new construction, TIME providesefficient market solutions while minimizing landowner andenvironmental impacts,” Evans said. “TIME’s market-responsivefeatures also allow phasing volumes in to meet the market’stiming.”

For more information on the open season, contact Robert Riga at(617) 560-1436.

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