GPCM News: 1/11/02: Open Season For Desert Crossing Pipeline and ,
 From http://www.enerfax.com :
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Open Season for Desert Crossing Pipeline
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Allegheny Energy Supply, the Salt River Project, and Sempra Energy Resource=
s which are planning to build a natural gas storage and pipeline system in =
the Southwest are taking bids from companies for capacity through the syste=
m. The open season will last until February 8th, and will gauge industry in=
terest in the proposed Desert Crossing project.  The response will determin=
e the scope of the system, whose initial costs are likely to be $600 - $700=
 million. The Desert Crossing project, pending regulatory approval, would i=
nclude a 10 Bcf natural gas storage complex in Arizonaand an 800 MMcf per d=
ay pipeline running from near Las Vegasto southwestern Arizona. The 300- mi=
le pipeline system would connect the storage complex with all of the major =
interstate natural gas pipelines in Arizonaand southern Nevada. The pipelin=
e is expected to be ready for operation by the summer of 2004, while the st=
orage facility would begin incremental service in 2005 with full service fo=
recast in early 2008. The storage complex would allow hourly access to natu=
ral gas, permitting customers to tap supplies to meet unexpected surges in =
demand from power plants.=20
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Presumably this would or could involve gas sourced via Kern RiverGas Transm=
ission near Las Vegasas well as El Pasoand / or Transwestern in Northern Ar=
izonanear the CaliforniaBorder.
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Bob Brooks
GPCM Natural Gas Market Forecasting Systemhttp://gpcm.rbac.com=20
rebrooks@rbac.com