Ryckman Creek Resources LLC, a gas storage project owned by Peregrine Midstream Partners LLC, concluded its nonbinding open season for firm service at its proposed high-deliverability, multi-cycle (HDMC) facility in Uinta County, WY.
In response to Ryckman's offer of 15 Bcf of capacity beginning April 2012, it received market-priced bids requesting more than 50 Bcf of capacity from 25 companies in various sectors of the energy industry.
"The value of the bids that Ryckman received in the open season reflects the strong need for well connected high-deliverability, multi-cycle gas storage in the western Rockies near the Opal Hub," said Peregrine Managing Director Jeff Foutch. "We will now begin working with the top bidders to finalize service agreements."
Ryckman began the pre-filing process with FERC last April and said it is on track to file a 7(c) certificate application request later this month in order to receive final Federal Energy Regulatory Commission authorizations by April. Receipt of FERC authorization by this date will support Ryckman Creek's targeted April 2012 in-service date, the project backers said.
The project's backers plan to have additional capacity available, for a total of 35 Bcf, by spring 2013. Based on the open season responses, the company is considering a Phase II expansion of up to 50 Bcf, it said.
Ryckman Creek customers will have the ability to interconnect with five interstate pipelines -- Kern River, Questar, Overthrust Pipeline, Ruby Pipeline and Northwest Pipeline -- which mirrors the Opal Hub, the developers said.
The open season began last month (see Daily GPI, Oct. 5).
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