Pipeline

Due to an engine failure at MRT’s Unionville Storage facilities, starting Wednesday through approximately Aug. 6 the pipeline will be limited in injection capability there. See the bulletin board for associated transport restrictions.

Northern Natural Gas, the operator of offshore Texas Matagorda Offshore Pipeline System (MOPS), said it was requiring the shut-in of all MOPS platforms by Tuesday afternoon due to potential hurricane activity in the Gulf of Mexico. Northern said it was beginning allocation of all scheduled MOPS volumes starting with the Intraday 1 nominations cycle for Tuesday’s gas day but anticipates a return to service Friday for those points based on forecasts of the storm’s path.

Twenty-eight residents of tiny DISH, TX — where Barnett Shale natural gas drilling and pipeline operations have been suspected of polluting the air — who were tested for exposure to volatile organic compounds (VOC) were not found to have unusual levels of the contaminants, according to results of biological tests from a Texas Department of State Health Services (DSHS) investigation.

Twenty-eight residents of tiny DISH, TX — where Barnett Shale natural gas drilling and pipeline operations have been suspected of polluting the air — who were tested for exposure to volatile organic compounds (VOC) were not found to have unusual levels of the contaminants, according to results of biological tests from a Texas Department of State Health Services (DSHS) investigation.

Atmos Energy Corp. subsidiaries Atmos Pipeline and Storage LLC (APS) and Fort Necessity Gas Storage have made agreements with Delhi Gas Storage LLC, a subsidiary of Icon NGS LLC, to allow Delhi to develop the proposed Ft. Necessity salt-dome gas storage project in Franklin Parish, LA. Delhi has been granted the right to drill a brine disposal well and undertake tests to better define the characteristics of the brine disposal formation. If Delhi completes the well and wishes to proceed with the development, it has the right to contribute the brine well test results and acquire a controlling interest in Ft. Necessity, which will own all of the project assets. APS will retain a capital position in Ft. Necessity and will share in a variable percentage of the profits. Upon its exercise of its option, Delhi will have the sole responsibility for managing Ft. Necessity and will provide funding for all future development. Delhi will have the option to purchase APS’s interest at varying stages of development at predetermined pries. Should the project be developed, Atmos Energy Marketing LLC has agreed to purchase some firm storage service.

Atmos Energy Corp. subsidiaries Atmos Pipeline and Storage LLC (APS) and Fort Necessity Gas Storage have made agreements with Delhi Gas Storage LLC, a subsidiary of Icon NGS LLC, to allow Delhi to develop the proposed Ft. Necessity salt-dome gas storage project in Franklin Parish, LA. Delhi has been granted the right to drill a brine disposal well and undertake tests to better define the characteristics of the brine disposal formation. If Delhi completes the well and wishes to proceed with the development, it has the right to contribute the brine well test results and acquire a controlling interest in Ft. Necessity, which will own all of the project assets. APS will retain a capital position in Ft. Necessity and will share in a variable percentage of the profits. Upon its exercise of its option, Delhi will have the sole responsibility for managing Ft. Necessity and will provide funding for all future development. Delhi will have the option to purchase APS’s interest at varying stages of development at predetermined pries. Should the project be developed, Atmos Energy Marketing LLC has agreed to purchase some firm storage service.

Tennessee Gas Pipeline Co. (TGP) has executed binding 20-year term agreements with subsidiaries of Chesapeake Energy Corp. and Statoil for 100% of the capacity of its proposed Northeast Upgrade Project, which would provide 636,000 Dth of incremental firm transportation capacity from TGP’s 300 Line Project now under construction in the heart of the Marcellus Shale in Pennsylvania to an interconnect in New Jersey, the El Paso Corp. subsidiary said. TGP’s Line 300, which would provide 340 MMcf/d of capacity, is scheduled to be completed in 2011 (see Daily GPI, Dec. 11, 2009). The agreements for the Northeast Upgrade, with Chesapeake Energy Marketing Inc. and Statoil Natural Gas LLC, precede an open season, which is expected to be launched in February. Final capacity would be awarded in March. A spring 2011 Federal Energy Regulatory Commission filing date is planned for the Northeast Upgrade, with a scheduled Nov. 1, 2013 in-service date. The project would cost an estimated $400 million; most of the capital spending would take place in 2013, said El Paso.

Millennium Pipeline Co. LLC is holding a binding open season through Feb. 12 for firm transportation capacity commencing Nov. 1, 2013 to support system mainline expansions linking the Marcellus Shale in New York to the state’s Manhattan borough.

Millennium Pipeline Co. LLC is holding a binding open season through Feb. 12 for firm transportation capacity commencing Nov. 1, 2013 to support system mainline expansions linking the Marcellus Shale in New York to the state’s Manhattan borough.