FERC on Thursday gave Cheyenne Plains Gas Pipeline Co. LLC the green light to begin construction on the 380-mile pipeline, which will offer a new direct route to Midcontinent and Midwest natural gas markets for rapidly growing Powder River Basin coalbed methane production and traditional gas supply from the Jonah Field in the Green River Basin in western Wyoming. The $425 million project, which will extend from the Cheyenne Hub in northeastern Colorado to Greensburg, KS, will be a major new addition to the entire Rockies region. The pipeline is targeted for service in January 2005, with an expansion the following year. Initial deliveries are expected to total 560 MMcf/d with another 170 MMcf/d in Phase II and the possibility of an additional 1 Bcf/d expansion.

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