Binding

El Paso Natural Gas Co. (EPNG), owned by Kinder Morgan Energy Partners LP and Kinder Morgan Inc., has concluded a binding open season for a maximum of 145,000 Dth/d of available capacity on its South Mainline interstate natural gas transmission system. The approximately 750-mile South Mainline system extends from the Waha Hub in the Permian Basin of West Texas to California and serves markets in Texas, New Mexico, Arizona and northern Mexico. El Paso Electric Co., which is not affiliated with with the pipeline or its owners, has contracted with EPNG for an incremental 90,000 Dth/d of hourly firm capacity at maximum recourse rates under a 20-year term. El Paso Electric is currently served by EPNG. The new agreement will accommodate existing and planned additions to local generation by the utility. Expected in-service of the new capacity is Jan. 1, 2014.

Enterprise Products Partners LP affiliate Panola Pipeline Co. LLC is holding a binding open season through Jan. 11 for a proposed expansion of the Carthage, TX, to Lufkin, TX, segment of its natural gas liquids (NGL) pipeline system. The Panola Pipeline runs 181 miles pipeline from a point near Carthage in Panola County and supports the Haynesville and Cotton Valley oil and gas production areas. It extends to points at Mont Belvieu in Chambers County, TX, enabling shippers to access the world’s largest NGL fractionation complex, including facilities owned and operated by Enterprise. The Panola expansion would be designed to accommodate about 15,000 b/d of incremental capacity, depending upon shipper interest, and would involve installing pumps and related equipment. The additional capacity would be available during the second quarter. For information, contact Chad Aldrich at (713) 381-6427 or cjaldrich@eprod.com.

Southern Star Central Gas Pipeline Inc. is holding a binding open season through Dec. 7 for expansion capacity proposed to carry production from the Granite Wash, Cleveland/Tonkawa and Mississippian Lime areas to markets in Oklahoma, Kansas and Missouri as well as other intrastate and interstate pipelines. The Straight Blackwell Expansion would involve expanding the capacity of Southern Star’s system beginning in Texas County, OK, along the Straight Blackwell Line (Line Segment 315) extending east to its Blackwell Compressor Station in Kay County, OK. Customer interest will dictate whether Southern Star pursues the expansion and will help define the final parameters of any project, the company said. Southern Star said if the project proceeds, it will, subject to Federal Energy Regulatory Commission approval, install the necessary facilities to serve all or a portion of the requested capacity. Expansion service could begin Oct. 1. For more information, contact Philip Rullman at (270) 852-4440, Jim Neukam at (270) 852-4665, Pat Coomes at (270) 852-4552, Robbie Clark at (270)-852-4577, or Dale Sanders at (270) 852-4666.

NuStar Energy LP is buying Eagle Ford Shale crude oil pipeline, gathering and storage, and natural gas liquids (NGL) assets for $425 million from TexStar Midstream Services LP. The deal is part of NuStar’s transition to a fee-based pipeline and storage business and away from margin-based refining and marketing.

TransCanada Corp said Monday it entered into binding agreements with Phoenix Energy Holdings Ltd. to develop a $3 billion pipeline project in Northern Alberta to move oil sands crude and large amounts of diluent.

Kinder Morgan’s El Paso Natural Gas Co. LLC (EPNG) is holding a binding open season for a proposed new pipeline that would extend from its South Mainline System near Tucson, AZ, to the U.S.-Mexico border near Sasabe, AZ.

NuStar Logistics LP, an affiliate of NuStar Energy LP, is holding a binding open season for firm priority space to transport crude petroleum from the Niobrara Shale near Platteville and Watkins, CO, to Wichita Falls, TX.

Enterprise Products Partners LP is holding a binding open commitment period through Sept. 27 for capacity on the Appalachia-to-Texas (Atex Express) pipeline. The 1,230-mile system will deliver ethane from the Marcellus and Utica shale areas of Pennsylvania, West Virginia and Ohio to Mont Belvieu, TX (see Shale Daily, Jan. 5). “While the long-term commitments we already have are more than sufficient to proceed with the development of Atex Express pipeline, we continue to receive steady interest from other producers seeking long-term transportation capacity,” said Jim Teague, chief operating officer of Enterprise’s general partner. For information contact Russ Kovin at (713)381-7925, or rkovin@eprod.com.

Boardwalk Pipeline Partners LP’s Gulf South Pipeline Co. LP has received binding commitments for its proposed Southeast Market Expansion and will move forward with the next steps of the project.