Tennessee Gas Pipeline has signed precedent agreements for over1 Bcf/d in new deliveries through its Eastern Express Project 2000in New England and its Express 500 Project from the Gulf of Mexico,according to John Somerhalder, pipeline president.

“Eastern Express Project 2000 and Express 500 were developed tomeet the needs of our customers,” said Somerhalder. “We willcontinue to work with shippers in the supply and market areas tophase in additional capacity as it is needed. Our existing systemis well positioned to respond to market needs on a rational andeconomically sound basis.”

Shippers have signed up for 900 MMcf/d on the Eastern ExpressProject 2000 for gas to be delivered into the Tennessee expansionin New England predominantly from the planned interconnects withthe Portland Natural Gas Transmission System and the Maritimes &ampNortheast Pipeline projects, and from Niagara Falls at theinterconnection with TransCanada PipeLine. Shippers include powergenerators, marketers and LDCs. Tennessee currently is assessingthe contracts and is in discussion with shippers to avoidredundancies and clarify contracting issues before commencing thedesign.

Tennessee has received binding precedent agreements for 220MMcf/d on its Express 500 Project which will add firmtransportation capacity in the Gulf of Mexico supply area byalleviating current and projected bottlenecks along the pipeline’s500 line. The expansion is expected to handle significantincremental supplies being developed in the deep waters of the Gulfof Mexico.

Ellen Beswick

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