Kinder Morgan says an open season for an expansion of TrailblazerPipeline has signed up 300 MMcf/d of fixed rate contracts for aminimum term of 10 years. The company is targeting the fourth quarterof 2002 for completion of the $54 million project. The proposedexpansion of Trailblazer’s 436-mile pipeline would start in Rockport,CO, at a multi-pipeline connection, and end in Gage County,NE. Trailblazer plans to install two new compressor stations, addadditional horsepower at compressor station 602 and perhaps constructsome 36-inch loop. The open season “generated a very strongresponse,” said Richard D. Kinder, chairman of Kinder Morgan EnergyPartners L.P. The company dropped an earlier plan to include anextension to its pipeline system in the open season when it appearedColorado Interstate Gas would have an expansion of its competingMedicine Bow lateral completed before a new Trailblazer line could beconstructed (see Daily GPI, Aug. 8).
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Articles from Mmcf
Vector Signs NIPSCO, Plans Connection with Crossroads
NiSource subsidiary Northern Indiana Public Service Co. (NIPSCO)has signed an agreement for 200 MMcf/d of firm short-haultransportation service on the Vector Pipeline project and isplanning a connection with the 1 Bcf/d pipeline, which is scheduledto be in service in October. In addition, Crossroads Pipeline,NiSource’s pipeline subsidiary, announced plans to construct aninterconnection with Vector. The 300-mile Vector pipeline wouldstretch to the Dawn Hub in Ontario from the Chicago hub in Joliet,IL.
Transportation Notes
Nominations exceeded capacity at NOVA’s Eastern Gate Tuesday,causing a restriction of about 270 MMcf/d, or 46% of IT capability.
Industry Brief
Denver’s Tom Brown Inc. paid $16.2 million for an estimated 22Bcf of gas equivalent in reserves, with current net dailyproduction of 8 MMcf of equivalent gas in the Rocky Mountainregion’s Pavillion field. The transaction by the independent energycompany increases its working interest in the Pavillion to 90%, upfrom a previous 50% interest.
Industry Brief
Apache Corp. announced a Canadian gas discovery that tested at31 MMcf/d British Columbia on acreage acquired from Shell Canadalate last year. “Proved reserves acquired in the Shell Canadatransaction were mainly oil, but the major upside lies in gasexploration on nearly 300,000 net acres and in the staff of highlymotivated technical people who joined Apache,” said ApachePresident G. Steven Farris. Apache holds a 37% working interest inthe Ladyfern area producer. Murphy Oil, the operator, holds 33% andBeau Canada Exploration has the remaining 30% working interest.”Pressure build-up tests are under way to help in determining theapproximate size of this discovery, but it’s safe to say it has thepotential to be a very large gas field,” Farris said. Apache andits partners have under lease more than 25,000 acres in theLadyfern area and are presently drilling two additional wildcatwells on separate structures. Apache and partners will build aneight-inch-diameter pipeline 15 miles to the Beau Canada pipelineto take Ladyfern gas to Apache’s Hamburg gas plant.
Apache Makes Canadian Discovery
Apache Corp. announced a Canadian gas discovery that tested at31 MMcf/d British Columbia on acreage acquired from Shell Canadalate last year.
El Paso Plans New Pipeline For Raton Basin Gas
El Paso Energy Corp. announced an open season for a newlyproposed 175 MMcf/d interstate pipeline between the Raton Basin andthe interstate pipelines of El Paso Natural Gas and NorthernNatural Gas in Moore County, TX. The open season began last weekand will conclude on Jan. 7 at 5 p.m. (MST).
El Paso Plans New Pipeline for Raton Basin Gas
El Paso Energy Corp. announced an open season for a newlyproposed 175 MMcf/d interstate pipeline between the Raton Basin andthe interstate pipelines of El Paso Natural Gas and NorthernNatural Gas in Moore County, TX. The open season began yesterdayand will conclude on Jan. 7 at 5 p.m. (MST).
Transportation Note
El Paso will take the Dutch Flat #1 turbine down for maintenanceDec. 20-22, reducing Havasu Crossover capacity by 40 MMcf/d.
Transportation Notes
North Mainline capacity on El Paso is down by 300 MMcf/d throughOct. 29 due to an overhaul of the Williams (AZ) “C” turbine thatwas set to begin Sunday (Oct. 10).
