Thursday, May 9, 2019

Welcome to GasNewsOnline.com!  We check the country’s interstate natural gas pipeline companies for their most recent critical postings and bring you information about significant changes in pipeline operating conditions prior to this Mother’s Day weekend.

Today, we will also update you on the latest publicly released news about one of Anadarko Petroleum‘s suitors. Plus, we’ll give you the extended temperature forecast through May 19 from the National Weather Service, too.  

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From the US Energy Information Administration, working natural gas in storage was 1.547 Tcf as of Friday, May 3, 2019.  This represents a net increase of 85 Bcf from the previous week.

Natural gas in storage is now 16% below the five-year historical average.

On the New York Mercantile Exchange, the natural gas futures price for June, 2019 was down more than three cents on Thursday to finish at about $2.57/MMBtu. 

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Chevron Corporation announced today that, under the terms of its previously announced Merger Agreement with Anadarko Petroleum Corporation, it will not make a counterproposal and will allow the four-day match period to expire.  Accordingly, Chevron anticipates that Anadarko will terminate the Merger Agreement.

Chevron’s Chairman and CEO Michael Wirth said, “Winning in any environment doesn’t mean winning at any cost. Cost and capital discipline always matter, and we will not dilute our returns or erode value for our shareholders for the sake of doing a deal. Our advantaged portfolio is driving robust production and cash flow growth, higher investment returns and lower execution risk. We are well positioned to deliver superior value creation for our shareholders.”

Upon termination of the Merger Agreement, Anadarko will be required to pay Chevron a termination fee of $1 billion.

Earlier this week, Anadarko’s Board of Directors deemed a revised offer from Occidental Petroleum Corporation as a “Superior Proposal” and plans to move ahead with the OXY offer.

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On Wednesday, Marathon Petroleum Corporation and midstream affiliates MPLX LP and Andeavor Logistics LP announced that the two midstream companies have entered into a definitive merger agreement whereby MPLX will acquire Andeavor in a unit-for-unit transaction at a blended exchange ratio of 1.07x. This represents an equity value of approximately $9 billion and an enterprise value of $14 billion for the acquired entity. The transaction has been unanimously approved by MPLX’s and ANDX’s respective Conflicts Committees and both Boards of Directors. Subject to the satisfaction of customary closing conditions and receipt of regulatory approvals, the transaction is expected to close in the second half of 2019.

Under the terms of the merger agreement, ANDX public unitholders will receive 1.135x MPLX common units for each ANDX common unit held, representing a premium of 7.3%, and MPC will receive 1.0328x MPLX common units for each ANDX common unit held, representing a 2.4% discount. The blended exchange ratio of 1.07x represents a 1% premium to market1.

“This transaction simplifies our MLPs into a single listed entity and creates a leading, large-scale, diversified midstream company anchored by fee-based cash flows,” said Gary R. Heminger, chairman and chief executive officer. “This transaction is projected to be immediately accretive to MPLX unitholders on distributable cash flow, demonstrating MPC’s commitment to positioning its midstream business for long-term success”.

Mike Hennigan will remain President of the combined entity and lead all midstream activities.

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Now, let’s take a look at the latest critical notices from the electronic bulletin boards of the country’s interstate natural gas pipeline grid:

ANR Pipeline:

Effectively Wednesday, May 8, ANR will reduce the capacity for the Jena Southbound location (LOC #95105489), due to unplanned compressor maintenance at Jena compressor station located in the Southeast Southern Area (Zone 2).

The Jena Southbound location (LOC #9505489) capacity restriction is as follows:

75-MMcf/d (leaving 1,105-MMcf/d available) 5/8 – 5/22

Based on current nominations, it is anticipated that this posting may result in the capacity allocation reduction of IT, Firm Secondary and possibly a portion of Firm Primary volumes. Since ANR anticipates that this restriction may impact its ability to deliver all nominated Firm Primary services, ANR will apply the Reservation Charge Crediting Mechanism of Section 6.36.4 as necessary.

Colorado Interstate Gas (CIG):

In response to continuing and prolific natural gas production growth in the Denver-Julesburg Basin – and the mounting market need for timely transportation capacity – Colorado Interstate Gas Company, L.L.C. (CIG) is conducting a binding Open Season for additional firm capacity to be made available by approximately November 1, 2019.  The additional transportation capacity offered in this Open Season will have primary receipt rights from a new receipt point immediately upstream of the High Five Meter Station (PIN#TBD), and have primary delivery rights into CIG’s 5C at the High Five delivery point interconnection (PIN#53893) which is currently under construction, and CIG will construct additional capacity at this meter to accommodate a minimum of 125,000 Dth/day of additional capacity.  CIG is conducting this Open Season on the terms described below. 

This binding Open Season will commence on May 8, 2019 and is scheduled to close at 10:00 a.m. Mountain Time on May 22, 2019.  CIG intends to provide notification of capacity awards by 5:00 p.m. Mountain Time on May 2, 2019. 

Questions concerning this Open Season should be directed to: Greg Ruben (719-520-4870) or Laine Lobban (719-520-4344).

Columbia Gulf Transmission:

Columbia Gulf Transmission, LLC reminds customers of upcoming meter station work at MS 478 (Transco Evangeline) on Tuesday, May 14, 2019.  During this work, MS 478 will be set to a total capacity of 270,000 Dth per day.  Based on current scheduled volume, there is no expected impact to firm service.

On Wednesday, May 15, Columbia Gulf reminds customers of meter station work at MS 4118 (Florida Gas).  During this work, MS 4118 will be set to a total capacity of 294,000 Dth per day.  Based on current scheduled volume, there is no expected impact to firm service.

East Tennessee Natural Gas:

East Tennessee Natural Gas (ETNG) has limited operational flexibility to manage imbalances downstream of Boyds Creek Compressor Station (Boyds Creek). As a result, effective Wednesday, May 8, ETNG requires all delivery point operators east of Boyds Creek to keep actual daily takes out of the system equal to or less than scheduled quantities regardless of their cumulative imbalance position unless otherwise coordinated with your operations account representative. All receipt point operators east of Boyds Creek are required to keep actual receipts into the system equal to or greater than scheduled quantities regardless of their cumulative imbalance position unless otherwise coordinated with your operations account representative.

If necessary, ETNG will utilize any provision of its tariff to ensure system integrity including the issuance of customer specific or system wide OFOs.  This notice will remain in effect until further notice.

Gulf South Pipeline:

Longview Compressor Station Maintenance:  Begins: May 13, 2019            Ends:  July 2, 2019

Longview Station #2 Scheduling Group – Capacity could be impacted by up to 50,000 dth/d for the duration of the maintenance.

Natural Gas Pipeline Company of America (NGPL):

Natural has experienced mechanical issues at Compressor Station 104 (CS 104) located in Barton County, Kansas (Segment 11 of Natural’s Midcontinent Zone).  This is a Force Majeure event that will limit Natural’s throughput capacity northbound out of the Midcontinent Zone through Compressor Station 104.   

The scheduling constraint will be at CS 104; therefore, any gas received south of CS 104 for delivery north of CS 104 will be impacted for the duration of this restriction.  For scheduling purposes, the Midcontinent Pool (LOC 25078) is located south of the constraint.  Additionally, firm transportation nominated from receipt points south of CS 104 (including the Midcontinent Pool) for injection at any Amarillo storage point will be impacted.  Receipt points north of CS 104 will not be impacted.     

As such, effective for gas day, Wednesday, May 8, 2019, Timely Cycle and anticipated to continue through gas day Monday, May 13, 2019,Natural will schedule Primary Firm and Secondary in-path Firm transports to no less than 77% of contract MDQ through CS 104.  Actual nomination levels and changes in pipeline conditions could result in changes to the percentages scheduled (lower or higher) on subsequent gas days.  AOR/ITS and Secondary out-of-path Firm transports continue to not be available. 

The stated scheduling percentage is based upon the current level of firm capacity contracted for during this restriction and is subject to change based upon operational conditions and Shipper utilization.  Permian Zone delivery points will be available as an alternative.  The Trailblazer Gage (LOC 902900), Rex Jefferson (LOC 42499), and Northern Border Harper (LOC 908090) receipt points, as well as other supply points downstream of this constraint will also be available.

Southeast Supply Header (SESH):

Effective immediately, SESH is lifting the previously posted imbalance warning issued on April 6, 2019.

Texas Eastern Transmission:

Texas Eastern Transmission, LP (TE) hereby declares a Force Majeure in accordance with Section 17 of the General Terms and Conditions of its FERC Gas Tariff. The Force Majeure event is due to an unplanned outage at its Danville Compressor Station (Danville) in Danville, Kentucky. While efforts to repair the station to full capacity are underway, the estimated time of restoration is unclear at this time.

As a result of this outage north to south capacity through stations on the 30 inch line will be reduced to approximately:

Owingsville 1,644,000 Dth/d
Danville 1,638,000 Dth/d
Tompkinsville 1,440,000 Dth/d

TE will post updates to the status of repairs as they are known.

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The latest six-to-ten day temperature forecast from the National Weather Service for the period May 15-19 reveals that warmer than average temperatures will be seen along both the Southeast and Pacific Northwest regions.  From the Southwest through the Great Lakes and into New England, cooler than seasonal temperatures will prevail during much of the third week of May.

Thank you for joining us at GasNewsOnline.com.  We’ll be back on Monday to bring you the publicly sourced natural gas pipeline and energy news for you along with an updated weather outlook for the coming week. 

Please tell a friend in the natural gas scheduling and transportation business about us!    Make sure to listen to our companion audio podcasts via Apple Podcasts. It’s FREE, too!


Monday, March 18, 2019

Welcome to GasNewsOnline.com! The recent late season surge of cold weather seems to be fading this week, and many of the natural gas pipeline companies are now starting to post notices of upcoming spring maintenance projects. 

As we shift into the spring gas storage season, let’s check out some of the latest industry news and the long-range temperature forecasts, too.

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American Midstream Partners, LP today announced that it has entered into a definitive agreement and plan of merger (“Merger Agreement”) with an affiliate (the “Purchaser”) of ArcLight Energy Partners Fund V, L.P. (“ArcLight”). The Purchaser will acquire, for cash, in a merger transaction, all outstanding common units of the Partnership not already held by affiliates of ArcLight, at a price of $5.25 per common unit.

The merger is expected to close in the second quarter of 2019.  The Partnership does not expect to make any cash distributions on its common units or preferred units prior to the closing of the merger.

The conflicts committee of the board of directors of the Partnership’s general partner, after consultation with its independent legal and financial advisors, unanimously approved the Merger Agreement and determined it to be in the best interests of the Partnership and its unitholders unaffiliated with ArcLight. Subsequently, the board of directors of the Partnership’s general partner approved the Merger Agreement and determined it to be fair and reasonable and in the best interests of the Partnership.

The closing of the merger is subject to satisfaction of customary conditions, including receipt by the Partnership of a consent and waiver from the Partnership’s lenders. Under the partnership agreement, the merger is required to be approved by a majority of the outstanding common units and preferred units, voting as a class, and each class of preferred units. Affiliates of ArcLight own approximately 51% of such voting power and prior to the execution of the Merger Agreement, affiliates of ArcLight delivered to the Partnership a written consent approving the Merger. As such, the merger has been approved by the limited partners of the Partnership, and the Partnership will not hold a meeting of its unitholders to approve the merger. 

Upon closing of the merger, the Partnership will be a wholly owned subsidiary of the Purchaser and its common units will cease to be publicly traded.

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From the US Energy Information Administration’s “Natural Gas Weekly Update” publication last week:

Natural gas spot prices fell at most locations the past reporting week (Wednesday, March 6 to Wednesday, March 13). Henry Hub spot prices fell from $2.94/MMBtu on March 6 to about $2.85/MMBtu today.

The price of the 12-month strip averaging April 2019 through March 2020 futures contracts is now just shy of the $3.00 mark at $2.996/MMBtu.

Net withdrawals from working gas totaled 204 Bcf for the week ending March 8. Working natural gas stocks are 1,186 Bcf, which is 23% lower than the year-ago level and 32% lower than the five-year (2014–18) average for this week.

The natural gas plant liquids composite price at Mont Belvieu, Texas, rose by 8¢/MMBtu, averaging $6.70/MMBtu for the week ending March 13. The price of natural gasoline, ethane, propane, and butane rose by 2%, 1%, 1%, and 1%, respectively. The price of isobutane remained flat week over week.

According to Baker Hughes, for the week ending Tuesday, March 5, the natural gas rig count decreased by 2 to 193. The number of oil-directed rigs fell by 9 to 834. The total rig count decreased by 11 and now stands at 1,027.

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Now, let’s take a look at the interstate natural gas pipeline grid:

ANR Pipeline:

Janesville NNG Capacity Reduction

New: ANR will begin planned pipeline maintenance in Wisconsin in the Northern Area (Zone 7). For the period of March 26 – 28, ANR will not be scheduling nominations at the JANESVILLE/NNG (LOC #28808).

Based on current nominations, it is anticipated that this posting will result in the capacity allocation reduction of IT and Firm Secondary volumes. This posting will be updated as more information becomes available.

Columbia Gas Transmission:

MARK YOUR CALENDAR! TransCanada will be revealing the new Navigates Nominations application and providing customer training on Thursday, March 21, 2019 at 1:30 PM CT.  

The new Navigates Nomination application contains numerous customer requested improvements, making it easier to do business using computers, tablets or mobile devices. The training will provide an in-depth look at the Nomination Matrix, Pool Balances, and Gas Flow Summary screens, and a snapshot of what customers can expect as additional functionality is added to the new Navigates application. 

The dial-in details are provided below: 

Participant dial-in: (888) 455-0683

Participant passcode: 2730221 

A copy of the presentation will be posted prior to the call under the Presentations section of Columbia’s Informational Postings for your reference.

El Paso Natural Gas:

Force Majeure – Lordsburg Station – Unit 1C & Florida Station – 1C

El Paso Natural Gas Company, L.L.C. (EPNG) has experienced equipment failures associated with its Lordsburg Compressor Station and Florida Compressor Station, and as such Lordsburg Unit 1C and Florida Unit 1C are currently unavailable. Accordingly, the operational capacity through the L2000 constraint of 584,700 dekatherms (Dth) per day will be reduced by 200,000 Dth per day yielding operational capacity of 384,700 Dth per day effective Gas Day Tuesday, March 19, 2019, Timely Cycle (Cycle 1). 

This reduction in operational capacity will remain in effect until further notice. EPNG will provide updates as more information becomes available.

This incident constitutes an event of force majeure under EPNG’s FERC Gas, General Terms and Conditions, Section 11.3.  For scheduling questions, please call your scheduling representative at (800) 238-3764.

Gulf South Pipeline:

Maintenance Pig Run #2 – Effective March 26 – Ends March 27, 2019

Kiln to Mobile Scheduling Group

Capacity could be impacted by up to 25,000 dth/d for the duration of the maintenance. Based on current nominations and operational conditions Gulf South does not anticipate any customer impact.

Mobile Bay Delivery Scheduling Group

Capacity could be Impacted by up to 150,000 dth/d for the duration of the maintenance.

Moss Point System Scheduling Group

Capacity could be impacted by up to 100,000 dth/d for the duration of the maintenance.

Southeast Supply Header (SESH):

Pursuant to Section 15 of the General Terms and Conditions of Southeast Supply Header, LLC’s (“SESH”) FERC Gas Tariff (“Tariff”), SESH notifies its shippers of the scheduled outages described below. During these outage periods, the quantity of available capacity on the SESH system will be limited as set forth below.

Gwinville Compressor Station Outage: April 6 – 10, 2019:
Beginning on Gas Day April 6, 2019 and continuing through Gas Day April 10, 2019, SESH’s capacity will be limited to approximately (i) 710,000 Dth /d through the Delhi Compressor Station, (ii) 887,000 Dth /d through the Gwinville Compressor Station and (iii) 885,000 Dth/d through the Lucedale Compressor Station.

If nomination flow patterns change significantly during this outage, SESH will post revised capacities to reflect these changes.

Lucedale to Gulfstream Pipeline Outage: April 6 – 9, 2019:
Beginning on Gas Day April 6, 2019 and continuing through Gas Day April 9, 2019, SESH will be conducting an outage on a portion of its 36″ Line 100 between Lucedale Compressor Station and EOL. During this outage the following meters will be unavailable for flow:

83011 – GULF STREAM – CODEN (DEL – 83111)
83101 – TRANSCO – CODEN
83103 – THEODORE PLANT – MOBILE GAS SERVICES
83111 – GULFSTREAM – CODEN (REC – 83011)
83113 – PLANT DANIEL, MISSISSIPPI POWER COMPANY

During these outages SESH will work with upstream and downstream interconnects to minimize shipper impact.

Southern Natural Gas:

On Tuesday March 19, 2019 Southern will post the March/April/May and other 2019 Maintenance projects.

On Wednesday, March 20, at 1:30 PM (Central Time), the company will host a call that should last approximately one hour.  Southern will conduct a conference call/WebEx meeting and review the posted information. 

WebEx meeting number:  991 986 350 – Password:  SNG

Audio:  713-420-6338 (MEET) – Access code:  36338

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From the National Weather Service, the six-to-ten day temperature forecast shows a much appreciated warm-up for the midsection of the United States through March 28.  The only area expecting average March temperatures will be along parts of the Desert Southwest and California as spring gets underway elsewhere.

Thanks for joining us at GasNewsOnline.com! We check all of the publicly sourced natural gas pipeline and energy news for you and bring you the weather outlook for the coming week. 

Please tell a friend in the natural gas scheduling and transportation business about us! Subscribe to our FREE companion audio podcasts via Apple Podcasts, too.

Edition 18 – Tuesday, November 27, 2018

We’re back from the Thanksgiving break, and the natural gas business has come through with a couple of unique stories which may give you a chuckle to start your week.

Welcome to GasNewsOnline.com!  With December in sight, we will examine some of the latest corporate energy news, check the postings from the natural gas pipeline electronic bulletin boards, and, of course, bring you a peek at the temperature forecast for the first week of December.  All from public sources and, of course, we bring it to you for FREE!

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Porky would be proud…

Dominion Energy and Smithfield Foods, Inc. are joining forces in an historic initiative to transform the future of sustainable energy and agriculture, announcing their first projects in North Carolina, Virginia and Utah. The companies are forming a joint venture called Align Renewable Natural Gas (RNG) that will capture methane emissions from hog farms and convert them into clean renewable energy for residential home heating and power for local businesses.

By capturing methane that would otherwise be released into the atmosphere, the use of RNG leads to a significant reduction in methane emissions from the agriculture and energy industries.

RNG is produced from the methane generated from hog or dairy farms, landfills, wastewater treatment plants and food processing facilities. Capturing the methane from hog farms reduces the use of traditionally-sourced natural gas and keeps greenhouse gas from entering the atmosphere. It can be stored and delivered to homes and businesses through existing natural gas infrastructure, making it a cost-effective, renewable option.

The new joint venture will leverage Smithfield’s relationships with contract farmers, who raise and care for its hogs, and the decades the company has spent studying and perfecting the commercial viability of ‘manure-to-energy’ projects. Using a technology known as anaerobic digestion, the projects will capture and process methane from large clusters of Smithfield’s company-owned and contract hog farms. Once collected at the farms, the natural gas will then be transported to a central conditioning facility where it will be converted into RNG.

“Our companies recognize the urgent need to reduce greenhouse gas emissions for the future of our planet. RNG is an innovative and proven way to dramatically reduce greenhouse gas emissions from the agriculture industry by converting it into clean renewable energy,” said Thomas F. Farrell, II, chairman, president and chief executive officer of Dominion Energy.

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Another Big Foot sighting!  It’s true…read on!

Chevron Corporation announced that the Chevron-operated Big Foot deepwater project, located in the U.S. Gulf of Mexico, has started crude oil and natural gas production. The field is located approximately 225 miles (360 km) south of New Orleans, La., in a water depth of approximately 5,200 feet (1,584 m.).

The Big Foot field was discovered in 2006, is estimated to contain total recoverable resources of more than 200 million oil-equivalent barrels and has a projected production life of 35 years. The project uses a 15-slot drilling and production tension-leg platform, the deepest of its kind in the world, and is designed for a capacity of 75,000 barrels of oil and 25 million cubic feet of natural gas per day.

“The Big Foot project strengthens Chevron’s deepwater portfolio and further demonstrates that the Gulf of Mexico is an integral part of our diverse global portfolio and long-term strategy,” said Jeff Shellebarger, President of Chevron North America Exploration and Production. “The project advances our interest in safely providing reliable, affordable energy to meet a growing global demand.”

Chevron’s subsidiary, Chevron U.S.A. Inc., is the operator of Big Foot with a 60 percent working interest. Co-owners are Equinor Gulf of Mexico LLC (27.5%) and Marubeni Oil & Gas (USA) LLC (12.5%).

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Now that we have your attention, let’s check around the nation and discover a few of the critical postings affecting the interstate gas pipeline grid:

East Tennessee Natural Gas:

Weather forecasts show colder temperatures across the entire East Tennessee (ETNG) system beginning Gas Day November 27, 2018. As such, ETNG will be implementing its Maximum Allowable Delivery Service (MAD) effective 9:00 AM CCT November 27, 2018.

As a result, the following restrictions will be effective at 9:00 AM CCT November 27, 2018:

No secondary out of path receipts upstream of station 3104; No secondary out of path receipts upstream of station 3206; No secondary deliveries downstream of station 3313 on the 8 and 12 inch 3300 lines between Rural Retreat and Roanoke;

No interruptible, Authorized Overrun or secondary out of path deliveries to all meter stations downstream of station 3313;

Receipt meters under delivering to the ETNG system may be restricted to their recent historical performance levels.

LMSMA’s upstream of Lewisburg (station 3206) and Dixon Springs (station 3104) may be restricted to recent historical delivery consumption levels.

Furthermore, restrictions to secondary receipts may be required at ETNG’s interconnects with Tennessee Gas Pipeline at Lobelville (MR 53201) and Ridgetop (MR53101).

ETNG will utilize any provision of its tariff to ensure system integrity including the issuance of customer specific or system wide OFOs.  This notice will remain in effect until further notice.

 

Florida Gas Transmission:

DECEMBER 2018 — FGT SUPPLY AREA MAINTENANCE IN ZONES 2 AND 3

FGT will be performing maintenance on the FGT East White Lake Lateral upstream of FGT Compressor Station 75. This maintenance is scheduled to begin on December 3, 2018 and is to be completed by the end of gas day December 7, 2018. During this maintenance FGT will schedule up to 470,000 MMBtu/day from the FGT East White Lake group. During normal operations FGT schedules up to 590,000 MMBtu/day from the FGT East White Lake group.

FGT will be performing planned pipeline maintenance upstream of FGT Compressor Station 10. This maintenance is scheduled to begin on December 3, 2018 and is to be completed by the end of gas day December 21, 2018. During this maintenance FGT will schedule up to 1,100,000 MMBtu/day through Station 10. During normal operations FGT schedules up to 1,300,000 MMBtu/day through Station 10.

FGT will be performing maintenance on pipe near the FGT/Tennessee Carnes Interconnect (POI 10258). This maintenance is scheduled to begin on December 3, 2018 and is to be completed by the end of gas day December 21, 2018. During this maintenance zero volumes will be scheduled at the FGT/Tennessee Interconnect. During normal operations FGT schedules up to 60,000 MMBtu/day through the FGT/Tennessee Carnes Interconnect.

 

Natural Gas Pipeline Company of America (NGPL):

SEGMENT 27 – GULF COAST #3 (CS 305) – INSTALL LAUNCHER & RECEIVER – UPDATE #1

The project dates have been changed, as noted below.  This notice was last posted on November 16, 2018, entitled “DECEMBER 2018 – SCHEDULED MAINTENANCE”. 

On gas day Saturday, December 15, 2018, and continuing through gas day Thursday, January 3, 2019, (previously Friday, November 30, 2018, and continuing through gas day Friday, December 14, 2018), Natural will be performing pipeline maintenance to install pigging facilities on the Gulf Coast #3 mainline near Compressor Station 305, located in Miller County, Arkansas (Segment 27 of Natural’s Gulf Coast Mainline Zone).  AOR/ITS and Secondary out-of-path Firm transports may not be available during this work.  Primary Firm and Secondary in-path Firm transports may also be at risk of not being fully scheduled.

 

Southeast Supply Header (SESH):

Southeast Supply Header, LLC’s (“SESH”) previously posted Dentville compressor station outage which was to occur November 27 – December 1, 2018 has been canceled and will not need to be rescheduled.

Please contact your Operations Account Representative should you have any questions.

 

Southern Natural Gas:

Based on the current colder weather forecast and projected demand on Southern‘s system, we are notifying all Shippers that Southern is expanding the OFO Type 3 Level 1 OFO to the additional groups listed below effective the start of the gas day, Tuesday, November 27, 2018, until further notice.

OFO Type 3 Level 1: Daily Demand Exceeds Capacity
TARIFF SECTION 41.2
EFFECTIVE DATE: November 27, 2018

EFFECTIVE TIME of OFO: 9:00 AM (CCT)

PENALTY: $10.00/Dth

This is to notify all customers who are allocated gas at any delivery point in the segments listed below that they are subject to an operational flow order commencing on the effective date set out in this notice and continuing until further notice. The above-stated penalty will be assessed on any shipper whose allocated deliveries at any delivery point(s) within the groups listed below exceed 105% of their daily entitlement at such delivery point.

A daily entitlement report will be provided after the end of each scheduling cycle. The daily entitlement in effect after the last scheduling cycle (Intraday 3) will be the final one and will be used to determine any penalties. Maintaining deliveries within your daily entitlement at each delivery point will contribute to safe and efficient operation of the system, and also will avoid an OFO Type 3 penalty and help to minimize imbalances.

 

Tennessee Gas Pipeline:

EMERGENT REPAIR AT STA 261 EFFECTIVE 11-27-18

Pursuant to Article XII of the General Terms and Conditions of Tennessee’s FERC Gas Tariff, Tennessee is posting notice of an emergent repair issue at STA 261 near Agawam, MA. Tennessee is experiencing issues with the units that compress into the lateral to the Berkshire Power Plant (420901). Personnel are on site and evaluating. At this time there should be no impact to throughputs other than pressure fluctuations to Berkshire.   Updates will be posted as more information becomes available.

 

Transcontinental Gas Pipe Line Company (Transco):

Transco recently provided notice of limited flexibility to manage imbalances and recommended shippers maintain a concurrent balance of receipts and deliveries. In order to ensure system integrity, maintain safe operations, manage imbalances, and handle within-the-day volatility, Transco is issuing a Scheduling Operational Flow Order (OFO).

Effective date:  Wednesday, November 28, 2018 and until further notice

OFO areas:  Zones 4, 5, and 6

Type of Imbalance:  Due from Shipper

Tolerance %:  10% or 1,000 dth/zone, whichever is greater

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In weather news, the colder temperatures which kept much of the eastern US chilly over the past few weeks appear to be heading west to start December.  According to the National Weather Service, the Rockies and West Coast will receive a little cold weather to start the new month, while average to above average temperatures will warm the Southeast in early December.

 

Thank you for reading GasNewsOnline.com!  If you know someone in the natural gas transportation business, please let them know about us.  Our audio podcasts are now available via I-tunes!  All for FREE!