Morgan

Natural Gas Pipeline Company of America (NGPL) has reached an agreement with We Energies to extend all of the company’s existing firm transportation contracts. The Kinder Morgan subsidiary initially will provide up to 111,000 MMBtu/d of annual firm natural gas transportation service and 19,133 MMBtu/d of firm seasonal transportation service.

Kinder Morgan Interstate reported completion of repairs to a leak on its Pony Line in Yuma County, CO, downstream of Sterling Compressor Station. The associated force majeure, declared late Tuesday, was lifted for Wednesday’s gas day. Minor service curtailments were made Tuesday.

El Paso shares fell another 4% Wednesday after Morgan Stanley analyst Scott Soler cut his El Paso stock rating to “underweight” from “equal weight” and lowered his outlook on the entire natural gas industry to “cautious” from “in-line.”

Kinder Morgan Inc. (KMI) subsidiary Natural Gas Pipeline Company of America (NGPL) has extended a long-term agreement to provide MidAmerican Energy with up to 115,000 MMBtu/d of firm-transportation service starting in December. The new agreement, which will continue through Nov. 30, 2004, represents an increase over the current level of 100,000 MMBtu/d. The companies also entered into an agreement to extend a firm-storage contract totaling 10 Bcf for an additional two years through Nov. 30, 2005.

Kinder Morgan Inc. (KMI) subsidiary Natural Gas Pipeline Company of America (NGPL) has extended a long-term agreement to provide MidAmerican Energy with up to 115,000 MMBtu/d of firm-transportation service starting in December. The new agreement, which will continue through Nov. 30, 2004, represents an increase over the current level of 100,000 MMBtu/d. The companies also entered into an agreement to extend a firm-storage contract totaling 10 Bcf for an additional two years through Nov. 30, 2005.

Kinder Morgan Inc. subsidiary Natural Gas Pipeline Co. of America (NGPL) has extended long-term, firm transportation and storage contracts with Northern Indiana Public Service (NIPSCO) covering 400,100 Dth/d of transportation capacity and 10.5 Bcf of storage space.

Horizon Pipeline, a joint venture of Nicor Inc. and Kinder Morgan’s Natural Gas Pipeline Company of America (NGPL) three years in the making, has begun delivering gas in northern Illinois and southern Wisconsin, ahead of rival project Guardian Pipeline. Gas began flowing through the $80 million Horizon line May 11 following final approval from the Federal Energy Regulatory Commission (FERC) (see NGI, May 13).

Enron Corp. on Thursday had good news, announcing that two of its banks, JPMorgan, the investment banking arm of JP Morgan Chase & Co., and Salomon Smith Barney Inc., the investment banking arm of Citicorp Inc., had agreed to provide incremental credit lines totaling $1 billion, secured by Enron’s Northern Natural Gas Co. and Transwestern Pipeline Co. assets. The funds will be used to supplement short-term liquidity and to refinance maturing obligations. However, analysts and credit rating services remained dubious about Enron’s long-term ability to secure cash to operate.

Effective today, Northern Border is lifting a firm-only restriction on its 42-inch Monchy/Port of Morgan to Ventura segment. The constraint had been implemented Wednesday due to compressor station outages upstream of Ventura (see Daily GPI, Oct. 4).