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Transportation Note

Northwest Pipeline’s preliminary investigation indicates thatland movement affecting about 500 feet of pipe was the cause of aline break Friday night near Stevenson, WA (see Daily GPI, March 1,2). Following industry practice, Northwest will send segments ofthe pipe for metallurgical testing to verify the rupture’s causeconclusively. A temporary 16-inch surface pipeline is beinginstalled to restore service to LDC Northwest Natural Gas in theNorth Bonneville, WA, area. Northwest Pipeline said it is workingwith geotechnical experts to plan permanent re-routing of theruptured 26-inch line outside the boundaries of the land movementarea.

March 3, 1999

FERC’s O’Neill Questions New Pipe Construction

A top-ranking FERC official last week dismissed suggestions thatthe Commission was dragging its feet on key pipeline projects thatwould ship natural gas to the Northeast – namely the proposedMillennium, SupplyLink, MarketLink and Independence lines. “…[W]elove new pipelines,” said Richard O’Neill, director of the Officeof Economic Policy, “but we don’t want these new pipelines to turninto stranded costs.” Also, he cited environmental concerns.

March 2, 1999

FERC’s O’Neill Questions Need for New Pipe Construction

A top FERC official dismissed any hint the Commission wasdragging its feet on key pipeline projects that would ship naturalgas to the Northeast – namely the proposed Millennium, SupplyLink,MarketLink and Independence lines. “…[W]e love new pipelines,”said Richard O’Neill, director of the Office of Economic Policy,”but we don’t want these new pipelines to turn into strandedcosts.” Also, he cited environmental concerns.

March 1, 1999

Deep-water Genesis Starts Production

The Genesis Project, a deep-water oil and natural gas platform, has gone into production in 2,600 feet of water in the Gulf ofMexico. The drilling and production platform, operated by Chevron,is expected to produce approximately 30,000 barrels of oil and morethan 20 MMcf/d during 1999. Production is planned to increase at asteady pace so that in 2000 Genesis will reach its peak productioncapacity of 55,000 barrels of oil and 72 MMcf/d.

February 2, 1999
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