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Southern, Tampa Electric, EOG Take Space on Southeast Supply Header

Customer commitments for capacity on the proposed Southeast Supply Header LLC (SESH) pipeline system have reached nearly 1 Bcf/d, which will be the initial capacity on the pipeline when it enters service in summer 2008. Southern Co., Tampa Electric Co. and EOG Resources have committed to a total of 245 MMcf/d of capacity on the system, which will bring gas from East Texas and North Louisiana to markets primarily in the Southeast, SESH project partners Spectra Energy and CenterPoint reported Thursday.

With previously announced commitments from Florida Power & Light and Progress Energy Florida, SESH's total subscribed capacity is now 945 MMcf/d. The pipeline will continue to solicit shipper interest in the remaining capacity and the market need for a future expansion. SESH filed an application with the Federal Energy Regulatory Commission on Dec. 18, 2006, seeking approval to construct, own and operate the pipeline.

The 270-mile, 36-inch and 42-inch diameter pipeline will extend from the Perryville Hub in northeast Louisiana to the Gulfstream Natural Gas System, which is 50% owned by an affiliate of Spectra Energy. Along the route, SESH will access several major pipelines serving the eastern United States and have access to several storage facilities.

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