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Algonquin Holds Open Season for HubLine

Algonquin Holds Open Season for HubLine

Duke Energy's Algonquin Gas Transmission announced an open season for its proposed HubLine Pipeline last week. Algonquin began receiving offers for capacity on the 600,000 Dth/d HubLine, which will connect Algonquin to the proposed Maritimes & Northeast pipeline, on July 20. It will conclude Aug. 12. Service is expected to commence in 2002 and nominations for services starting at different periods will be accepted and evaluated. If this open season is deemed successful, Duke will file the project at FERC before the end of this year.

The $300 million HubLine project would extend from a Maritimes Pipeline connection in Plaistow, NH, under water along the eastern seaboard of the Massachusetts Bay for 24 miles to link with existing Algonquin facilities near Boston. Gas would be transported at a pressure of 1,200 psi, which is high enough to accommodate all electric turbines, Algonquin said. Shippers would have access to Sable Island gas through Maritimes, domestic supply through Algonquin's existing system and possibly LNG from Algonquin's liquefaction facilities near Boston.

"The recent electric power peak demand throughout the Northeast demonstrates the need for additional clean and efficient gas-fired generation in the Northeast. HubLine offers a unique opportunity to bring new high pressure gas supplies deep into the market, increasing operating efficiencies and flexibility," said Tom O'Connor, vice president of marketing for Duke Energy's Northeast Pipelines.

The HubLine project was first announced in April of last year. O'Connor said market timing was the main reason why an open season was not held sooner. "After announcing the project, we worked closely with the market-makers on demand and timing issues. As we got feedback, we realized that the best time for an in-service date was in 2002, which makes now a good time to hold the open season. Also, the past year has brought a higher level of certainty and definition to the Maritimes project, which was a factor as well."

For more information about the HubLine open season call Pat Whitty at (617) 560-1447. John Norris

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