PG&E Energy Trading Canada Corp. has made a deal with BC Gasfor capacity on the BC Gas Southern Crossing Pipeline project andfor provision of peaking services to BC Gas, pending regulatoryapprovals. BC Gas last week re-filed for construction of theSouthern Crossing Pipeline, a loop of existing pipeline linked tothe north-south Westcoast Energy pipeline connecting to BritishColumbia and the U.S. Pacific Northwest. The pipeline to linkAlberta gas to the Huntingdon, BC, market area is scheduled tobegin operation Nov. 1, 2000.

PG&E Energy Trading Canada’s agreement calls for the companyto take 50% of the project’s capacity to Huntingdon for 10 years.BC Gas last week announced that BC Hydro will hold the other 50%.The pipeline also will provide capacity to utility customers in theinterior of British Columbia. Keith Bohn, senior vice president ofPG&E Energy Trading Canada, said the pipeline is of strategicimportance to the company as it increases its presence in WesternCanada and the Pacific Northwest states. “We expect to expand ourend-use customer base and to encourage development in the region bydiversifying load to meet customer needs.”

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