Affiliate

Dominion Resources has closed on the $780 million sale of Pittsburgh-based Dominion Peoples, its Pennsylvania natural gas distribution company, to PNG Companies LLC, an affiliate of SteelRiver Infrastructure Fund North America. Dominion Resources turned to SteelRiver Infrastructure after its plans to sell Peoples to Pittsburgh-based Equitable Resources fell through in mid-2008 (see Daily GPI, July 3, 2008). Dominion plans to use approximately $542 million in after-tax proceeds to reduce debt. Dominion Peoples provides gas service to about 359,000 residences and business in 32 counties in Pennsylvania.

Spectra Energy’s Texas Eastern Transmission LP will provide at least 150 MMcf/d of firm transportation capacity to an affiliate of Marcellus Shale producer Range Resources Corp. to deliver Appalachian gas to markets in the Northeast, the pipeline said Monday.

An affiliate of Hess LNG recently acquired BP’s 100% ownership interest in Crown Landing LLC, which was developing the Crown Landing LNG terminal on the Delaware River in Gloucester County, NJ. Hess LNG sees the site as a strategic location for an LNG facility, which could be completed about seven years from now, the company said last week.

An affiliate of Hess LNG late last week acquired BP’s 100% ownership interest in Crown Landing LLC, which was developing the Crown Landing LNG terminal on the Delaware River in Gloucester County, NJ. Hess LNG sees the site as a strategic location for an LNG facility, which could be completed about seven years from now, the company said Tuesday.

The Jicarilla Apache Nation and an affiliate of Enterprise Products Partners LP have signed a 20-year right-of-way agreement allowing the partnership to continue its natural gas gathering operations on reservation lands in northwest New Mexico.

Chevron Global Gas, a division of Chevron USA Inc., has completed a supply agreement with Ras Laffan Liquefied Natural Gas Co. Ltd. No. 3, an affiliate of RasGas Co. Limited, for delivery of Qatari liquefied natural gas (LNG) at the Sabine Pass LNG terminal in Cameron Parish, LA, Chevron said Tuesday.

To help fund the corporation’s planned growth, TransCanada Corp. is selling its North Baja Pipeline LLC to affiliate partnership TC PipeLines LP for US$395 million.

FERC has issued a favorable environmental assessment (EA) to Atmos Pipeline and Storage LLC, an affiliate of of natural gas distribution provider Atmos Energy Corp., to build a nearly 25 Bcf high-deliverability storage facility in Fort Necessity in northeastern Louisiana.

Southern Union Co. subsidiary SUG Energy LLC and Enterprise Products Operating LLC, an affiliate of Enterprise Products Partners LP, struck a 10-year natural gas liquids (NGL) fractionation agreement that provides Southern Union with up to 38,000 b/d of firm fractionation capacity at Enterprise’s Mont Belvieu facility in southeast Texas beginning Jan. 1, 2010. “In light of growing NGL volumes from the Rockies and Midcontinent, which could impact the future availability of fractionation capacity, we felt it prudent to secure long-term, reliable capacity for our NGL volumes produced in the Permian Basin,” said Roger A. Farrell, Southern Union senior vice president for midstream operations. “Enterprise is well positioned, with both existing and planned infrastructure, to provide flexible, reliable and cost-effective fractionation services for our product.” Enterprise’s Mont Belvieu facility has capacity of 225,000 b/d and 100 million bbl of liquids storage capacity.