SCANA Forms Interstate Gas Unit, Announces Open Season

Columbia, SC-based SCANA Corp. has formed subsidiary SCG Pipeline Inc., which will concentrate on transporting natural gas in Georgia and South Carolina, transporting gas from interconnections with Southern Natural Gas and Southern LNG's Elba Island liquefied natural gas (LNG) import terminal near Savannah, GA. SCG Pipeline also is now evaluating potential pipeline routes for an end point in Jasper County, SC, which is expected to begin commercial operations in November 2003.

The new subsidiary also has reached an agreement with SCANA Energy Marketing Inc. to transport 19,000 Dth/d and began an open season for other potential customers of the new system July 27, which will continue through Aug. 24. SCG Pipeline anticipates filing an application for certification with the Federal Energy Regulatory Commission this fall.

"Natural gas from the Elba facility will play an important role in the region by providing access to a new natural gas supply source to an economy with a growing demand for this product," said Berry Gibbes, president of SCG Pipeline. "SCG Pipeline and its access to Elba Island provide us with an opportunity to create additional natural gas infrastructure and to deliver supplies into the market in a very cost effective manner."

Last December, SCANA ended an agreement with the Fayetteville, NC Public Works Commission to build and share ownership of a natural gas-fired 500 MW power plant that would have supplied electricity to Fayetteville residents and businesses beginning in the summer of 2004 (see NGI, Dec. 25, 2000). When that deal fell through, Gibbes said the company would look for opportunities to build another pipeline.

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