Panhandle Eastern Pipe Line, a Southern Union subsidiary, has asked FERC for the green light to place the remaining segment of its Tuscola East Replacement Project in service by early June.

“The remaining segment in Parke County, IN (new Montezuma 500 Line), is anticipated to be completed within the next week,” Panhandle Eastern said in a letter to the Federal Energy Regulatory Commission Wednesday [CP06-428]. It asked the agency for authorization to place the Montezuma segment facilities in operation on or before June 8. FERC approved the project in May 2007.

The Montezuma 500 Line segment consists of 36-inch diameter facilities. It replaces a 5.6-mile, 20-inch diameter segment of the Montezuma 100 Line located downstream of the Montezuma Compressor Station in Parke County.

Panhandle already has replaced 20-, 24- and 36-inch diameter pipeline segments with 36-, 30- and 20-inch diameter pipeline on its existing Tuscola Line in Douglas County, IL, as well as replaced parts of its Zionsville Line in Marion, Boone and Hamilton counties, IN. These facilities, although not contiguous, also will be part of the new 500 Line.

As a result of the age of Panhandle Eastern’s existing line and stricter Department of Transportation (DOT) regulations, Panhandle was forced to reduce the operating pressure on one line (100 Line) by 20% in 2004, which significantly affected deliveries in the Midwest. It further said that the steel composition of the lines would prevent it from conducting in-line inspections, as required by DOT.

Panhandle Eastern operates a 6,500-mile pipeline system that delivers 2.8 Bcf/d of natural gas to Midwest and East Coast markets.

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