[Federal Register Volume 61, Number 87 (Friday, May 3, 1996)]
[Notices]
[Pages 19928-19930]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-10990]



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DEPARTMENT OF ENERGY
[Docket No. CP90-1777-008, et al.]


TransColorado Gas Transmission Company, et al.; Natural Gas 
Certificate Filings

April 26, 1996.
    Take notice that the following filings have been made with the 
Commission:

1. TransColorado Gas Transmission Company

[Docket No. CP90-1777-008]

    Take notice that on April 23, 1996, TransColorado Gas Transmission 
Company (TransColorado), 12055 West 2nd Place, Lakewood, Colorado 80228 
filed in Docket No. CP90-1777-008 a petition to amend the existing 
authorization issued in Docket Nos. CP90-1777-000, CP90-1777-001, and 
CP90-1777-006 pursuant to Section 7(c) of the Natural Gas Act, to phase 
construction of the project and to establish Phase I initial rates, all 
as more fully set forth in the petition to amend which is on file with 
the Commission and open to public inspection.
    On June 3, 1994, TransColorado was authorized in Docket Nos. CP90-
1777-000, CP90-1777-001, and CP90-1777-006 (the June order) to 
construct and operate a new pipeline system extending from an 
interconnection with Questar Pipeline Company in northwest Colorado to 
interconnections with El Paso Natural Gas Company (El Paso), 
Transwestern Pipeline Company (Transwestern), and Public Service 
Company of New Mexico (Public Service) in the San Juan Basin of 
northern New Mexico. Specifically, TransColorado, then a partnership 
including affiliates of Questar, Public Service Company of Colorado and 
KN Energy Company, was authorized to construct and operate 311 miles of 
22-inch and 24-inch pipeline, two compressor stations with a total 
horsepower of 10,150, and various metering and associated facilities 
from the Big Hole area of Rio Blanco County, Colorado to a terminus in 
San Juan County, New Mexico. The June order also authorized initial 
rates.
    TransColorado states that since the June order there have been a 
number of developments affecting the project. First, an affiliate of El 
Paso has purchased the partnership interest formerly held by an 
affiliate of Public Service Company of Colorado. <SUP>1 Second, 
TransColorado has reevaluated the scope and timing of the project to 
reflect current market considerations. TransColorado states that as a 
direct result of recent marketing efforts for its pipeline system, it 
has identified several producers in the San Juan Basin which would 
benefit from the construction of the TransColorado system on a phased 
basis. These San Juan Basis producers, it is indicated, are situated in 
close proximity to a proposed natural gas processing plant to be known 
as the Coyote Gulch Treating Plant, which will be located in La Plata 
County, Colorado, approximately 2.5 miles from the southern segment of 
the proposed TransColorado system. TransColorado states that these 
producers currently have no outlet for production located in the 
surrounding Red Cedar producing area since gas volumes being produced 
are already capacity constrained at the existing Arkansas Loop Plant. 
Construction of the Coyote Gulch Treating Plant will therefore provide 
producers in the area with additional natural gas treating capacity 
which is desired. It is stated that the Coyote Gulch Plant will have a 
design capacity of up to 120,000 Mcf per day (Mcfd) to remove CO <INF>2 
and to dehydrate gas. TransColorado states that by phasing the project, 
it believes it will be able to secure definitive transportation 
commitments from many of the area producers.
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    \1\ For purposes of the Phase I portion of the project, the 
partnership will consist of just two partners: KN TransColorado, 
Inc. and El Paso TransColorado Company.
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    To implement the restructured project, TransColorado seeks to amend 
its existing certificate authorization to phase the project. For Phase 
I, TransColorado proposes to construct and operate:
    (1) 2.5 miles of 1'' pipeline and appurtenances, from the proposed 
Coyote Gulch Treating Plant in La Plata County, Colorado to an 
interconnection with TransColorado's proposed 24-inch mainline in San 
Juan County, New Mexico.<SUP>2
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    \2\ TransColorado asserts that the 2.5-mile facility could be 
constructed as an eligible gas supply facility under Section 
157.208(a) of the Commission's Regulations in accordance with 
TransColorado's Subpart F blanket certificate. However, as a 
convenience, TransColorado has sought authority to construct the 
facility in this docket.
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    (2) 22.5 miles of 24-inch pipeline extending from a point of 
interconnection with the above 2.5-mile pipeline in San Juan County, 
New Mexico to a point of interconnection with the existing 34-inch and 
42-inch pipelines of El Paso at Valve O in the discharge side or the 
Blanco Plant in San Juan County, New Mexico.
    TransColorado states that it has executed a transportation service 
agreement with Red Cedar for 75,000 Mcfd of firm transportation 
capacity on the Phase I facilities. TransColorado states that the 
estimated cost of the Phase I portion of the project is $14,119,320. 
TransColorado proposes the following Phase I maximum initial rates.

Reservation Charge:
    $1.54321 per dekatherm
Usage Charge (firm):
    $0.0322 per dekatherm
Usage Charge (interruptible):
    $0.0322 per dekatherm
Unauthorized Overrun Charge:
    $0.644 per dekatherm

    TransColorado states that the proposed Phase I rates will recover 
the cost of service for the Phase I facilities, assuming a design 
capacity of 120,000 Mcfd. TransColorado asserts that it will be at risk 
for any undersubscription of the available capacity if all capacity is 
not contracted on a firm basis by the time TransColorado commences 
service. TransColorado explains that the design of the rates for the 
Phase I facilities conforms to the June order and the October 18, 1994, 
rehearing order as to, among other things, stipulated load factors, 
capital structures, and use of the ``Ozark'' methodology. TransColorado 
states that the only items which have been adjusted are an increase in 
the federal income tax rate and a change in property taxes to include 
only the state of New Mexico.
    Comment date: May 17, 1996, in accordance with Standard Paragraph F 
at the end of this notice.

2. Texas Gas Transmission Corporation

[Docket No. CP96-262-001]

    Take notice that on April 22, 1996, Texas Gas Transmission Company 
(Texas Gas), P.O. Box 20008, Owensboro, Kentucky 42304, filed in Docket 
No. CP96-262-001 an

[[Page 19929]]

amendment to its request filed on March 19, 1996, pursuant to Sections 
157.205(b) and 157.212 of the Commission's Regulations under the 
Natural Gas Act (18 CFR 157.205(b) and 157.212) for authorization to 
add a new delivery point in Henderson County, Kentucky, to serve 
Western Kentucky Gas Company (Western), a local distribution company, 
under Texas Gas' blanket certificate issued in Docket No. CP82-407-000 
pursuant to Section 7 of the Natural Gas Act, all as more fully set 
forth in the request which is on file with the Commission and open to 
public inspection.
    Texas Gas' original request of March 19, 1996, request authority to 
construct and operate a new delivery point on Texas Gas' Slaughters-
Evansville 10-inch Line in Henderson County, Kentucky, to enable 
Western to render natural gas service to a new customer, Hudson Foods, 
Inc. (Hudson-Sebree Delivery Point). Such request was noticed on March 
22, 1996, with the required 45-day notice period expiring on May 6, 
1996.
    Texas Gas states that Hudson Foods, Inc. (Hudson), has constructed 
a protein/processing poultry plant outside of Sebree, Kentucky, for 
which Western requested the delivery tap from Texas Gas, which is the 
subject of the instant request. According to Western and Hudson, 
construction on the plant site has proceeded ahead of schedule and the 
plant site will be ready to receive natural gas service by Monday, 
April 22, 1996. Texas Gas further states that Hudson has represented 
that a delay in Hudson's plant operations due to lack of natural gas 
service could potentially impact hundreds of jobs and create financial 
hardship not only for Hudson but ``many of its employees.'' Texas Gas 
states that for this reason Western requested that upon receipt of the 
necessary environmental clearances that Texas Gas proceed as quickly as 
possible to construct the delivery point pursuant to the authority of 
Section 311 of the Natural Gas Policy, but that Texas Gas continue to 
pursue the authority to operate the point pursuant to its blanket 
certificate issued under Section 7 of the Natural Gas Act. Texas Gas 
states that it received environmental clearances on April 18, 1996.
    By this amendment, Texas Gas states that it hereby seeks authority 
to operate the Hudson-Sebree Delivery Point under the authority of its 
blanket certificate issued under Section 7 of the Natural Gas Act.
    Comment date: June 10, 1996, in accordance with Standard Paragraph 
G at the end of this notice.

3. Northwest Pipeline Corporation

[Docket No. CP96-275-001]

    Take notice that on April 18, 1996, Northwest Pipeline Corporation 
(Northwest), 295 Chipeta Way, Salt Lake City, Utah 84158, filed in 
Docket No. CP96-275-001 a request pursuant to Sections 157.205 and 
157.211 of the Commission's Regulations under the Natural Gas Act (18 
CFR 157.205, 157.211) for authorization to abandon obsolete facilities 
and to construct and operate replacement facilities at the Filer Meter 
Station in Twin Falls County, Idaho under Northwest's blanket 
certificate issued in Docket No. CP82-433-000 pursuant to Section 7 of 
the Natural Gas Act, all as more fully set forth in the request that is 
on file with the Commission and open to public inspection.
    Northwest proposes to amend its filing in Docket No. CP96-275-000. 
In that filing Northwest proposed to replace the existing obsolete two 
1-inch regulators with two new 1-inch regulators and the existing 2-
inch positive displacement meter with a new 2-inch turbine meter and 
appurtenances.
    Northwest states that due to mechanical problems that they have 
been experiencing with 2-inch turbine meters Northwest now proposes to 
install a new 3-inch turbine meter as a replacement. As a result of 
this change the maximum design capacity of the meter station will 
increase to approximately 1,550 Dth per day. Northwest states that all 
other pertinent information as stated in Docket No. CP96-275-000 
remains accurate as previously filed.
    Comment date: June 10, 1996, in accordance with Standard Paragraph 
G at the end of this notice.

4. Gas Transport, Inc.

[Docket No. CP96-309-000]

    Take notice that on April 10, 1996, Gas Transport, Inc. (GTI) filed 
an application in Docket No. CP96-309-000 pursuant to Section 7(c) of 
the Natural Gas Act, and Subpart A of Part 157 of the Commission's 
Regulations for a certificate of public convenience and necessity 
authorizing it to replace an existing compressor and install and 
operate a new compressor and the necessary facilities on its 
transmission line, all as more fully set forth in the application which 
is on file with the Commission and open to public inspection.
    GTI proposes to install a 115 horsepower compressor and the 
necessary regulation facilities on its transmission line in Wood 
County, West Virginia. GTI states that these facilities will enable it 
to more effectively serve its market demand and reduce its cost-of-
service to its customers. The estimated costs associated with this 
proposal will amount to $222,250. GTI will recover the costs through 
internally generated funds.
    In addition, GTI seeks authorization to remove a 360 horsepower 
compressor on its existing facilities and replace the unit with a 115 
horsepower compressor. The removal and replacement of the existing 
compressor is in Washington County, Ohio. The estimated costs 
associated with this proposal will amount to $166,000. GTI will recover 
the costs for this facility through internally generated funds.
    Comment date: May 17, 1996, in accordance with Standard Paragraph F 
at the end of this notice.

5. Texas Eastern Transmission Corporation, Southern Natural Gas 
Company

[Docket No. CP96-332-000]

    Take notice that on April 17, 1996, Texas Eastern Transmission 
Corporation (Texas Eastern), P.O. Box 1642, Houston, Texas 77251-1642 
and Southern Natural Gas Company (Southern), P.O. Box 2563, Birmingham, 
Alabama 35202-2563, herein referred to as Applicants, filed in Docket 
No. CP96-332-000, a joint abbreviated application pursuant to Section 
7(b) of the Natural Gas Act and Part 157 of the Commission's 
Regulations, for an order granting permission and approval to abandon 
two exchange and transportation agreements between the Applicants, all 
as more fully set forth in the application which is on file with the 
Commission and open to public inspection.
    Applicants state that the exchange and transportation agreements 
are governed by Rate Schedules X-38 and X-87 for Texas Eastern and X-13 
and X-39 for Southern. Applicants further state that the exchange and 
transportation agreements are no longer needed to exchange gas on an 
emergency basis and the facilities will no longer be utilized.
    Comment date: May 17, 1996, in accordance with Standard Paragraph F 
at the end of this notice.

6. ANR Pipeline Company

[Docket No. CP96-337-000]

    Take notice that on April 18, 1996, ANR Pipeline Company (ANR), 500 
Renaissance Center, Detroit, Michigan 48243, filed an abbreviated 
application for a certificate of public convenience and necessity 
authorizing a revised

[[Page 19930]]

storage field boundary for its Loreed Storage Field located in Lake and 
Osceola Counties, Michigan, pursuant to Section 7(c) of the Natural Gas 
Act and Section 157.7 of the Federal Energy Regulatory Commission's 
Regulations, all as more fully set forth in the application which is on 
file with the Commission and open to public inspection.
    ANR states that is requesting approval of the proposed storage 
field boundary because there has been a gradual expansion of the 
storage reservoir over the years, and the grant of authority sought 
will help ANR to acquire, through eminent domain if necessary, the 
property it needs to protect the integrity of the Loreed Storage Field 
and the gas stored therein. ANR also states that approval of the 
proposed boundary of Loreed Storage Field will not increase the storage 
capacity or the deliverability of the field. ANR estimates that the 
cost of storage and mineral rights will be $357,125.
    Comment date: May 17, 1996, in accordance with Standard Paragraph F 
at the end of this notice.

7. NorAm Gas Transmission Company

[Docket No. CP96-342-000]

    Take notice that on April 22, 1996, NorAm Gas Transmission Company 
(NGT), 1600 Smith Street, Houston, Texas 77002, filed in Docket No. 
CP96-342-000 an application pursuant to Section 7(c) of the Natural Gas 
Act to continue operating the Dunn Junction compressor station in Logan 
County, Arkansas, all as more fully set forth in the application which 
is on file with the Commission and open to public inspection.
    NGT states that on July 23, 1987, in Docket No. CP87-458, NGT filed 
an application to certificate, among other things, existing facilities 
that were originally constructed and operated as non-jurisdictional 
intrastate facilities. NGT further states that on June 8, 1989, the 
Commission issued an order authorizing the continued operation of these 
facilities; however, although the need for certification for the Dunn 
Junction compressor station was described in the body of the 1987 
application, due to an administrative oversight, Dunn Junction was not 
specifically highlighted as a facility requiring certification on the 
exhibits accompanying the application. Therefore, in order to prevent 
any ambiguity as to the status of the Dunn Junction compressor station, 
NGT requests an order authorizing the operation of the station as a 
jurisdictional facility.
    Comment date: May 17, 1996, in accordance with Standard Paragraph F 
at the end of this notice.

Standard Paragraphs

    F. Any person desiring to be heard or make any protest with 
reference to said filing should on or before the comment date file with 
the Federal Energy Regulatory Commission, 888 First Street, N.E., 
Washington, D.C. 20426, a motion to intervene or a protest in 
accordance with the requirements of the Commission's Rules of Practice 
and Procedure (18 CFR 385.211 and 385.214) and the Regulations under 
the Natural Gas Act (18 CFR 157.10). All protests filed with the 
Commission will be considered by it in determining the appropriate 
action to be taken but will not serve to make the protestants parties 
to the proceeding. Any person wishing to become a party to a proceeding 
or to participate as a party in any hearing therein must file a motion 
to intervene in accordance with the Commission's Rules.
    Take further notice that, pursuant to the authority contained in 
and subject to jurisdiction conferred upon the Federal Energy 
Regulatory Commission by Sections 7 and 15 of the Natural Gas Act and 
the Commission's Rules of Practice and Procedure, a hearing will be 
held without further notice before the Commission or its designee on 
this filing if no motion to intervene is filed within the time required 
herein, if the Commission on its own review of the matter finds that a 
grant of the certificate is required by the public convenience and 
necessity. If a motion for leave to intervene is timely filed, or if 
the Commission on its own motion believes that a formal hearing is 
required, further notice of such hearing will be duly given.
    Under the procedure herein provided for, unless otherwise advised, 
it will be unnecessary for the applicant to appear or be represented at 
the hearing.
    G. Any person or the Commission's staff may, within 45 days after 
the issuance of the instant notice by the Commission, file pursuant to 
Rule 214 of the Commission's Procedural Rules (18 CFR 385.214) a motion 
to intervene or notice of intervention and pursuant to Section 157.205 
of the Regulations under the Natural Gas Act (18 CFR 157.205) a protest 
to the request. If no protest is filed within the time allowed 
therefore, the proposed activity shall be deemed to be authorized 
effective the day after the time allowed for filing a protest. If a 
protest is filed and not withdrawn within 30 days after the time 
allowed for filing a protest, the instant request shall be treated as 
an application for authorization pursuant to Section 7 of the Natural 
Gas Act.
Linwood A. Watson, Jr.,
Acting Secretary.
[FR Doc. 96-10990 Filed 5-2-96; 8:45 am]
BILLING CODE 6717-01-P