Vector Pipeline is planning to hold a binding open season next month for a third expansion of its system. The 2011 Expansion proposes to add long-haul capacity of up to 115 MMcf/d by adding two new compressors and upgrades the U.S. portion of the system.
The expansion could also include incremental short-haul capacity (from Washington, MI, to Dawn, ON) by adding a loop to the U.S. and/or Canadian portion of the system. In-service could be in November 2011 for the long-haul capacity, given shipper interest and timely regulatory approvals, Vector Pipeline LP and Vector Pipeline Limited Partnership said Wednesday.
“Business conditions have stabilized and gas supply development continues to increase,” said John Donaldson, vice president of marketing for Vector Pipeline. “We see increasing demand at Dawn along with storage expansions in southeastern Michigan and southwestern Ontario. Supply access is also on the upswing, particularly in the Midwest with the recently constructed and announced pipelines from the Rockies. Vector is unique in this region in its ability to move gas west to east, to storage or eastern markets, as well as east to west, helping Midwestern markets access storage and eastern supplies.”
Binding bids for firm capacity will be accepted from Monday until 4 p.m. EST Nov. 30. Vector will make a final determination of incremental capacity following the conclusion of the binding open season. Information and materials are available at www.vector-pipeline.com. Additional shipper information is available by contacting John Donaldson at (734) 462-0238 or Matt Malinowski at (734) 462-0236.
A previous open season was held for a third expansion in summer 2008 (see Daily GPI, Aug. 29, 2008).
Vector Pipeline’s 2009 Expansion was placed into service earlier this month ahead of schedule. The 2009 Expansion, which included the new Athens compressor station, increased nominal capacity of the pipeline from approximately 1.2 Bcf/d to approximately 1.3 Bcf/d (see Daily GPI, Oct. 20). Vector completed its first expansion, the 2007 Expansion, by installing compressor stations in Joliet, IL, and Washington Township, MI.
Vector Pipeline LP and Vector Pipeline Limited Partnership are joint ventures of Calgary-based Enbridge Inc. and Detroit-based DTE Energy Co.
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