Nicor Inc.’s Central Valley Gas Storage LLC is holding a nonbinding open season through Nov. 12 for firm service to begin on April 1, 2012 from an 8 Bcf storage facility currently in development. The project is a high-deliverability depleted reservoir that is expected to provide negotiated multi-turn services based on prospective customer’s requirements.

Central Valley is developing the facility north of Sacramento near the town of Princeton, CA, in Colusa County on Pacific Gas and Electric Co.’s (PG&E) gas transmission system. Following an open season held in 2008 (see Daily GPI, April 17, 2008), Central Valley has finalized certain binding market commitments for the project and recently filed an application for a certificate of public convenience and necessity with the California Public Utilities Commission in August (see Daily GPI, Aug. 11). Central Valley said it anticipates issuance of the certificate in mid-2010 and expects to provide firm storage services by April 2012.

“As a result of our ongoing development efforts, which included drilling a test well in May of this year, we have a more complete understanding of the field’s initial capabilities through core samples and are able to offer additional services to the California market,” said Central Valley President Steve Cittadine. “We believe Central Valley’s geographic location and service profile offers an excellent complement to new infrastructure being developed to serve West Coast markets and will facilitate more effective use of natural gas as renewable energy mandates take shape in California.”

For information contact John Fortman at (630) 245-7845 or jfortma@nicor.com, or visit www.cvgasstorage.com.

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