A proposal of Trunkline Gas to sell one third of its mainlinegas system – about 720 miles – to an affiliate for transportationof ethane and other hydrocarbons came under heavy attack at FERCfrom the pipeline’s shippers this week.
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Dynegy Builds Canadian Midstream,
Dynegy Inc., formerly NGC Corp. has purchased ComptonPetroleum’s Canadian midstream assets, including 78 miles ofpipelines, and the 82 MMcf/d Mazeppa and 15 MMcf/d Gladysprocessing plants in southern Alberta, for C$60 million. The dealalso includes a transportation, processing and revenue sharingagreement whereby Compton is assured processing and transportationcapacity at set rates and is paid a fee for bringing in new wellsand production.
Trunkline Plans to Abandon Part of its Mainline
Trunkline Gas Co. filed plans with FERC yesterday to remove720-miles of its 26-inch diameter mainline from service permanentlybecause its system has been underutilized and is likely to facecontinued decontracting as more gas pipelines are built into theMidwest from western Canada. Trunkline said it plans to spin downthe asset to another Duke Energy affiliate for conversion tohydrocarbon vapor transportation. The line has the capacity totransport up to 255 MDth/d of gas from Longville, LA, to Bourbon,IL.
Tejas to Build Gas Line in Toluca, Mexico
Tejas Energy, LLC announced plans to build a 75-mile pipeline totransport 90 MMcf/d of gas to the city of Toluca, Mexico, locatedabout 45 miles west of Mexico City. The pipeline will move gas froman interconnect with Pemex Gas y Petroquimica Basica’s pipeline atPalmillas, Mexico to a new local distribution company formed byRepsol, which placed a winning bid for the distribution zoneearlier this year.