Tennessee Gas Pipeline Announces Pipeline Extension Project

Tennessee Gas Pipeline Company, a subsidiary of El Paso Corporation, announced a natural gas pipeline expansion project that will extend its reach into the ultra-deep Eastern Gulf of Mexico. Louisiana Deepwater Link will provide an additional 850,000 dekatherms per day (Dth/d) of capacity from the tailgate of GulfTerra Field Services L.L.C.'s recently announced Independence Trail Pipeline project. GulfTerra Field Services L.L.C. is an affiliate of Enterprise Products Partners, L.P. Atwater Valley Producer Group, represented by Anadarko Petroleum Corporation, Kerr-McGee Oil & Gas Corporation, Devon Louisiana Corporation, Spinnaker Exploration Company, and Dominion Exploration & Production, Inc., has signed binding agreements with Tennessee providing a long-term supply commitment from recently announced discoveries in the Atwater Valley, Mississippi Canyon, Desoto Canyon, and Lloyd Ridge concession areas.

Louisiana Deepwater Link will provide Tennessee's expanding markets in the Gulf Coast, Southeast, and Northeast regions favorable access to one of the largest and fastest growing domestic supply basins in the Gulf of Mexico. As part of the contracts, Atwater Valley Producer Group will enter into firm transportation agreements with Tennessee for up to 500,000 Dth/d of their production.

"Tennessee continues to expand its access to critical supply regions while providing liquid trading points and flexible transportation services for our customers," said Stephen C. Beasley, president of El Paso's Eastern Pipeline Group. "The Gulf of Mexico has long been a major component of our diverse supply portfolio, and this deepwater Gulf of Mexico project demonstrates our ongoing commitment to attract incremental supplies to the Tennessee system."

Tennessee will lay two pipelines from its existing Grand Isle 43 system, located on the southeast coastline of Louisiana, to a new junction platform to be built in West Delta 68 and connecting to GulfTerra Field Services, L.L.C.'s recently announced 141-mile Independence Trail Pipeline. The Independence Trail Pipeline will connect Tennessee to a major platform production hub to be located in Mississippi Canyon Block 920.

The project facilities are scheduled to be placed in service October 2006. El Paso Corporation provides natural gas and related energy products in a safe, efficient, dependable manner. The company owns North America's largest natural gas pipeline system and one of North America's largest independent natural gas producers.

Our Privacy Pledge

Most Popular Articles
Related Articles

Brent Crude Oil : $51.78/BBL 0.77%
Light Crude Oil : $50.85/BBL 0.83%
Natural Gas : $2.99/MMBtu 4.77%
Updated in last 24 hours