El Paso Energy’s Tennessee Gas Pipeline (TGP) plans a newinterconnect in Casey County, KY, to deliver an additional 200MMcf/d of gas into Texas Eastern Transmission (Tetco) to servemarkets in parts of Kentucky and southern Ohio. The interconnect isexpected to be in service by Nov. 1. Tennessee plans to acceptnominations at the new point for November 1998 gas flow.

The project will cost about $1 million and will include 500 feetof pipe, a new meter station and associated equipment. Tennesseewill own 100% of the interconnect, and Tetco will operate themeter. “It’s going to allow TGP to deliver to Tetco in our Zone 2region. Basically we’re describing it as areas of Kentucky andparts of southern Ohio, downstream of Station 871 in Casey County,KY,” a spokesman said.

The new interconnect, known as The Dry Creek Sales Meter, willprovide marketers and producers access to a broader supply of gasfor downstream markets in the northeastern United States.

“This new facility will add value to the capacity customersalready hold on our pipeline and will allow them more options totransport that gas in a marketplace that’s constantly changing anddemanding increased flexibility from everyone involved,” said JohnSomerhalder II, president of Tennessee Gas Pipeline Company.

Initial reaction from Tennessee Gas Pipeline customers has beenpositive. “This interconnect will open up additionally neededflexibility on all pipeline transporters, and this certainly is astep in the right direction to address the competitive environmentin which we all participate,” said John Scarlata, general managerof gas system and supply operations for Public Service Electric& Gas. “PSE&G looks forward to the increased flexibilitythat should allow us more options in the ever changingmarketplace.”

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