The various owners of the Black Marlin Pipeline System, a75-mile long natural gas and condensate gathering system in theGulf of Mexico, have sold the line to Williams Field Services for$9.25 million. The line was purchased from Blue Dolphin Energy, a50% owner, MCNIC Pipeline & Processing Co., a 33.33% owner, andWBI Holdings, Inc., a 16.67% owner. The sale includes related shorefacilities servicing the High Island area. Ivar Siem, chairman ofprimary owner Blue Dolphin, said the company had purchased BlackMarlin in early 1999 “during a period when the system hadexperienced lower throughput volumes due to limited drillingactivity in the High Island area. Since then the activity level hasbeen very high and significant additional reserves have beendiscovered,” Siem added. “This is an opportunity for us to realizegood value for the asset. We can re-deploy a portion of the saleproceeds to other niche pipeline opportunities in the Gulf.”
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DEFS Opens OK Pipeline, Consolidates Processing
Duke Energy Field Services (DEFS) began service on its newlyconstructed 12-inch, 42-mile natural gas pipeline, which travelsfrom the company’s Carney processing facility to its KingfisherPlant near Cashion, OK. The company said the line is capable ofmoving 60 MMcf/d.
Black Marlin Sold to Williams
The various owners of the Black Marlin Pipeline System, a75-mile long natural gas and condensate gathering system in theGulf of Mexico, have sold the line to Williams Field Services for$9.25 million. The line was purchased from Blue Dolphin Energy, a50% owner, MCNIC Pipeline & Processing Co., a 33.33% owner, andWBI Holdings, Inc., a 16.67% owner. The sale includes related shorefacilities servicing the High Island area.
Fort Union Plans Powder River Expansion
Building on increased Powder River Basin production, Fort Union Gas Gathering LLC has announced plans for a 200 MMcf/d expansion of capacity on its system.
Fort Union Plans Powder River Expansion
Building on increased Powder River Basin production, Fort UnionGas Gathering LLC, has announced plans for a 200 MMcf/d expansionof capacity on its system.
Questar Gets PD on Utah Pipe Expansion
FERC last week gave a preliminary nod to Questar Pipeline’sapplication to build a 75.6-mile, 272,000 Dth/d pipeline looprunning from northeastern Utah to the north central part of thestate. The proposed facilities would transport to western marketsthe growing coal-seam natural gas production near Price, UT, andthe volumes delivered to Questar from Colorado Interstate Gas’sUinta Basin Lateral at Natural Buttes.
Questar Gets PD on Utah Pipe Expansion
FERC yesterday gave a preliminary nod to Questar Pipeline’sapplication to build a 75.6-mile, 272,000 Dth/d pipeline looprunning from northeastern Utah to the north central part of thestate. The proposed facilities would transport to western marketsthe growing coal-seam natural gas production near Price, UT, andthe volumes delivered to Questar from Colorado Interstate Gas’sUinta Basin Lateral at Natural Buttes.
Industry Brief
Guardian Pipeline said it bought five engine compressor packagestotaling 22,225 hp to provide natural gas compression on its141-mile, 660 MMcf/d pipeline in Illinois and Wisconsin. Itpurchased the compressors from Compressor Systems, Inc. of Midland,TX. Combined, the compressors will be capable of delivering up to750 MMcf/d of gas on Guardian. “Guardian Pipeline is continuing tomake steady progress. This purchase agreement for a major equipmentcomponent keeps Guardian on track to meet its scheduled in-servicedate of November 2002,” said George Hass, Guardian project manager.A final Federal Energy Regulatory Commission (FERC) decision on theGuardian Pipeline is expected by early 2001. In June, FERC issued aPreliminary Determination that the pipeline is in the publicinterest, subject to the outcome of its environmental review, andin July, FERC staff issued a favorable Draft Environmental ImpactStatement on the project. In addition, the Public ServiceCommission of Wisconsin made a preliminary determination on theproject in October, accepting the economics of a Wisconsin Gaslateral pipeline, which will connect Guardian with Wisconsin Gas’distribution system. Guardian will transport gas frominterconnections with Alliance, Northern Border, Midwestern, andNGPL at the Chicago hub near Joliet, IL, to northern Illinois andsouthern Wisconsin markets starting in November 2002. Its sponsorsinclude CMS, WICOR and Viking Gas.
NGPL Plans Lateral to Serve Illinois Power in St. Louis
Natural Gas Pipeline Company of America (NGPL) announced plansto build a new 47-mile, 24-inch diameter pipeline lateral into St.Louis to serve Illinois Power’s gas distribution system. The $35million project, which is anchored by a contract with IllinoisPower affiliate Dynegy Marketing and Trade, will add at least300,000 Dth/d of gas transportation capacity to the St. Louismarket.
NGPL Plans Lateral to Serve Illinois Power in St. Louis
Natural Gas Pipeline Company of America (NGPL) announced plansto build a new 47-mile, 24-inch diameter pipeline lateral into St.Louis to serve Illinois Power’s gas distribution system. The $35million project, which is anchored by a contract with IllinoisPower affiliate Dynegy Marketing and Trade, will add at least300,000 Dth/d of gas transportation capacity to the St. Louismarket.