Durango

Spectra Energy’s Texas Eastern Transmission LP is proposing a pipeline expansion project to carry natural gas produced in the Eagle Ford Shale of South Texas across the Mexican border.

A fire that closed Williams Partners LP’s Ignacio gas processing plant near Durango, CO, midweek will reduce expected cash flows by $10-20 million, primarily in 4Q2007, the company said. The range includes the expected mitigating effect of Williams Partners’ property damage and business interruption insurance. Williams Partners said it does not expect the reduction in cash flow to impact its regular quarterly cash distributions. The fire began in a cooling tower, damaging it and a few adjacent buildings before being extinguished. No injuries were reported. The Ignacio plant is part of Williams Four Corners LLC, which is owned by Williams Partners. Approximately 100 MMcfe/d of the plant’s normal 450 MMcfe/d production capacity has been rerouted to other facilities in the San Juan Basin. In addition to the Ignacio plant, the Four Corners gathering system is connected to the Kutz and Lybrook gas processing plants and the Milagro and Esperanza gas treating plants in northwestern New Mexico. The Four Corners system’s normal volumes exceed 1.5 Bcfe/d. The cause of the fire is unknown and is under investigation.

An early morning fire Wednesday closed Williams Partners LP’s Ignacio gas processing plant, located near Durango CO. The cause of the fire is unknown and is under investigation. Williams said the fire began in a cooling tower, damaging it and a few adjacent buildings before being extinguished. No injuries were reported. The Ignacio plant is part of Williams Four Corners LLC, which is owned by Williams Partners. Approximately 100 MMcfe/d of the plant’s normal 450 MMcfe/d production capacity has been rerouted to other facilities in the San Juan Basin. In addition to the Ignacio plant, the Four Corners gathering system is connected to the Kutz and Lybrook natural gas processing plants and the Milagro and Esperanza natural gas treating plants in northwestern New Mexico. The Four Corners system’s normal volumes are in excess of 1.5 Bcfe/d. Contacted Thursday afternoon, the company said it has not yet estimated how long it will take to repair and reopen the plant.