Tennessee Gas had a systemwide operational flow order balancing alert in place on Friday. The pipeline said it experienced significant supply losses as a result of Hurricane Rita, totaling 900,000 Dth on the 800 line and 500 line, not including the 650,000 Dth that has remained shut in as a result of Hurricane Katrina. Inlet valves at the Grand Chenier Plant, Johnson Bayou Plant and Sabine Plant on the 800 line remain shut in. Tennessee also has sustained production losses of 400,000 Dth on the 100 line due to Hurricane Rita. In addition, due to evacuations, Station 25 in Cleveland, TX and Station 32 in Jasper, TX are unavailable. However, with the reduced throughput on the 100, this should not impact current scheduled quantities, the company said.
Balancing
Articles from Balancing
Transportation Notes
Citing improved operating conditions, Tennessee lifted an OFO Balancing Alert Monday. The OFO had taken effect Saturday (see Daily GPI, April 9).
Transportation Notes
Tennessee issued a systemwide OFO Balancing Alert that was to take effect until further notice Saturday, saying it was experiencing high system linepack “due to overproduction, reduced demand and limited storage injection capacity.” The OFO requires customers under Rate Schedules LMS-MA and LMS-PA (including SAs) to keep actual daily deliveries into the system less than or equal to scheduled quantities plus 2% (or 500 dekatherms, whichever is greater) and actual daily takes out of the system greater than or equal to scheduled quantities minus 2% (or 500 dekatherms, whichever is greater). Customers will be charged $15 plus the applicable Regional Daily Spot Price for each dekatherm of gas outside of the designated tolerance, Tennessee said. Penalties will not apply to underdeliveries into the system or overtakes out of the system.
Florida Power Attempts to Mitigate Impact of High Costs
Florida Power & Light is having to do a delicate balancingact to minimize the impact of high gas and oil prices onresidential customers.
Transportation Notes
Northwest continued to bar any on-system balancing or bankingMonday, saying its operational flexibility was “severely limited”by storage accounts being almost full.
Unico Balancing Portfolio With Gas/Oil Assets
Unico Inc. of Stamford, CT, bought Silver Valley Energy Inc.,including its proven oil and gas reserves located in the GlassMountains of Pecos County, TX, for an undisclosed amount. Theproperty is valued at more than $40 million based upon a recentindependent analysis.
Transportation Notes
Citing high linepack and storage limitations, Northwest said itis not allowing any on-system balancing or banking through the restof September. Both the Clay Basin and Jackson Prairie storagefacilities are nearly full even though the injection seasondeadline for 100% fills is Sept. 30, Northwest said. In addition,mainline capacity is “very limited” in accepting payback volumesdirectly to linepack, the pipeline added.
Transportation Notes
Public Service Co. of Colorado and Cheyenne (WY) Light Fuel& Power will implement Operational Balancing Procedures in allareas effective Saturday and Sunday. The effect is to requireshippers to cut nominations to a level that does not exceedestimated daily consumption taken from a previous “Model Day” (inthis case July 4, 1999). Imbalance paybacks will not be allowedduring the OBP period.
Transportation Note
Northwest continued Tuesday to ban any on-system balancing,warning that regional temperatures are getting warmer and linepack”is very high.” Shippers were asked to refrain from banking gas onthe system in order to avoid a potential entitlement.
