Centerpoint Energy Gas Transmission (CEGT) has filed for a 112,900 Dth/d compression expansion of its Line AD in Oklahoma to increase west-to-east capacity for gas coming out of the Rocky Mountains.

The filing with the Federal Energy Regulatory Commission earlier this month requests authorization to add three units totaling 28,265 horsepower of mainline compression. Two compressors would be at its new Hinton and Allen compressor stations in Caddo and Hughes Counties, OK, and a third unit in Grady County. CEGT’s Line AD runs in the vicinity of the planned Greensburg, KS, terminus of the under-construction Cheyenne Plains Pipeline coming out of the Rockies.

CEGT said it has a precedent agreement with ONEOK for 100,000 dth/d of firm capacity for 10 years. The remaining 10% of capacity is on the market on a short- or long-term firm basis. The pipeline has asked FERC to approve the compressor addition by March 1 to allow construction to start next spring to be ready by next winter.

The pipeline said it had issued a solicitation of interest in April for additional capacity from its West 1 Pooling Area to delivery points east of its Chandler Compressor Station. CEGT figured the added capacity will generate revenues of $72.8 million over 10 years, compared to a cost estimate for construction and 10 years of operation of $50 million. Rolling the project into rates will not increase the rates of existing customers, CEGT said.

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