Strong gas-fired power generation and economic growth inCalifornia prompted Transwestern Pipeline to propose a $93 millionexpansion project yesterday. The pipeline received enough marketinterest during an open season last month to file with FERC for a150,000 MMBtu/d expansion of its mainline to Southern California.The proposed Red Rock Expansion was filed yesterday and would beginservice next June if approved.

“This expansion is a start in meeting the increased demand inCalifornia and represents additional capacity that can be broughton-line by next summer. Transwestern also plans a more extensiveexpansion in the future,” said Stan Horton, Chairman of EnronTransportation Services.

Transwestern intends to replace several old compressors with newones, totaling about 41,500 hp in new compression at severalstations in Arizona. No new pipeline construction is required. Theproject would expand capacity from Transwestern’s East of Thoreaureceipt point to various delivery points in the Southwest and atthe California border. The project will bring the pipeline’s totalcapacity at the border to 1.24 Bcf/d.

Transwestern said there is significant delivery point capacityavailable, including 92,000 MMBtu on the Topock lateral, 126,000MMBtu at PG&E Topock, 280,000 MMBtu at Mojave Topock, 76,000MMBtu at Calpine/Southpoint, 86,000 MMBtu at Southwest Gas and120,000 MMBtu at Citizens/Griffith.

Some expansion capacity is still available and the pipelinecontinues to take requests for service. For more information,contact Lorraine Lindberg at (713) 853-5403. Written offers mustinclude material terms (rate, term, points, quantity) and theshipper should indicate whether partial volume will be accepted inthe event allocation is necessary.

©Copyright 2001 Intelligence Press Inc. All rights reserved. Thepreceding news report may not be republished or redistributed, inwhole or in part, in any form, without prior written consent ofIntelligence Press, Inc.