Western Hub Properties, LLC (WHP) said subsidiary Lodi GasStorage is holding an open season Nov. 2-20 for 4 Bcf of workinggas capacity with an average of six cycles per year at its proposedgas storage facility in a depleted producing field near Lodi, CA,20 miles south of Sacramento. The facility would provide servicedirectly to Pacific Gas & Electric’s (PG&E) Line 401 nearthe Antioch Terminal in the heart of PG&E’s market. The companyplans to file an application in November to build the facility nextyear with service starting in November 1999.

WHP President Tom Dill said the Lodi project is being modeledafter Gulf Coast natural gas storage in salt domes that provideno-notice, high-injection and high-withdrawal services that areessential in newly deregulated environments such as the one thathas been established for both natural gas and electricity inCalifornia. The facility is expected to have an initial designallowing for 200 MMcf/d of injections and withdrawals.

“Lodi will be California’s first natural gas storage facilityspecifically designed for the natural gas supply management needsof natural gas marketing companies and independent power generatorsin the 21st century,” Dill said. “The custom-tailored,high-deliverability and high-injection natural gas storage servicesprovided by Lodi will give its customers a competitive advantage inthe marketplace.”

Lodi would be the second merchant storage facility built in thestate. The Wild Goose storage field, which is being developed byAlberta Energy Co. about 50 miles north of Sacramento in a depleteddry gas field, is expected to begin operations next April with 14Bcf of working gas capacity, firm withdrawal capability of 200MMcf/d and injection capability of 80 MMcf/d.

Lodi plans to file with the CPUC for market based rates.Construction is expected to begin next summer. For more detailscall Jim Fossum at 916-488-1961.

Western Hub Properties, LLC, is a newly formed entity created toprovide hub services supported by high-deliverability storage inthe western United States. WHP’s founders are Larry Bickle, JohnStrom and Chris Jones, three founders of TPC Corp. (formerly TejasPower), which was sold to PacifiCorp in April 1997.

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