Williams Launches Open Season for its Northwest Pipeline

Williams says that its Northwest Pipeline is launching an open season to seek binding commitments from shippers for participation in its Colorado Hub Connection project. Northwest is proposing a new, 34-mile pipeline, the Colorado Hub Lateral, which would allow the Greasewood and Meeker hubs to access Northwest's mainline near Sand Springs, Colo.

In April, Northwest proposed its Colorado Hub Connection project and sought expressions of interest in the project from prospective shippers. At that time, shippers indicated interest in services totaling more than 600 MDth/day for contract terms up to 15 years. Based on those expressions of interest, Northwest has determined to continue to pursue the project and proceed to a binding open season.

Through this binding open season, shippers can subscribe for existing Northwest Pipeline capacity paired with Colorado Hub Lateral capacity to move gas supplies from: 1) points north of Sand Springs on Northwest's mainline system to the Greasewood and Meeker hubs; or 2) from the Greasewood and Meeker hubs to delivery points near Ignacio, Colo., where Northwest interconnects with El Paso Natural Gas and Transwestern Pipeline.

"Williams is excited about the level of interest shippers expressed in the Colorado Hub Connection project. This project will benefit Northwest's customers by providing increased access to Rockies natural gas supplies," said Phil Wright, president of Williams' interstate gas pipeline business.

Once binding commitments are received, Northwest will determine the final design and cost for the project. Subject to the necessary approvals, it is anticipated service on the Colorado Hub Lateral will be available in November 2010.