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Columbia Gas Seeks Shippers for Appalachian Pipeline Expansion

Looking to add pipe capacity for Appalachian natural gas producers, NiSource Inc.'s Columbia Gas Transmission Corp. on Monday launched an open season for up to 65,000 Dth/d of newly created firm transportation service on a proposed expansion of its Appalachian pipeline system in West Virginia and Kentucky.

Columbia said the expanded capacity is expected to be available during the fourth quarter of 2008. Receipts for the expanded capacity will originate in the Appalachian production basin. The company said the delivery point for the expansion project is a new interconnection located in Floyd County, KY between Columbia and Equitrans LP's proposed Big Sandy Pipeline near the Maytown, KY straddle plant.

James F. Thomas, CCO of NiSource Gas Transmission and Storage Group, said the project was created in response to "requests from our producing community." He added that the expansion is also consistent with the company's long-term growth strategy for long-term supply attachments.

"Our project will provide a viable solution to requests for additional firm capacity from the Appalachian producers," said Michael J. Strauss, vice president of Market Development for NiSource Gas Transmission and Storage Group. "This project will help to relieve constraints created by increases in the demand for firm capacity over the past few years."

Columbia said the open season will run through 4:30 p.m. CST on March 20. Interested parties considering firm capacity for a minimum 15-year period may obtain a bid form by contacting Bernie Schaffler at (703) 227-3265 or bhschaffler@nisource.com , or Tom Brasselle at 304-357-3276 or tbrasselle@nisource.com.

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