(Source: Business Wire)
Inergy, L.P. (NASDAQ: NRGY) announced today that its wholly-owned subsidiary, Inergy Midstream, LLC ("Inergy"), is conducting two non-binding Open Seasons. The first Open Season is for the "MARC I Hub Line Project," and the second is for the "North-South Project." Together, these projects would allow shippers to wheel gas bi-directionally on a firm basis to and from the Millennium Pipeline in Tioga County, New York, approximately 75 miles to and from Transcontinental Gas Pipeline Corporation's ("Transco") Leidy Line near its compressor station 517, and to and from all points in between.
MARC I Hub Line Project
The MARC I Hub Line Project seeks to gauge interest for Northeast shippers that desire to move gas bi-directionally between the South Lateral of Inergy's Stagecoach Gas Storage Facility ("Stagecoach"), Tennessee Gas Pipeline Company's ("TGP") 300 Line near its compressor station 319, and Transco's Leidy Line near its compressor station 517.
The Marc I Hub Line Project includes approximately 43 miles of lateral piping, compression, and interconnect facilities connecting Inergy's Stagecoach South Lateral to Transco. The Marc I Hub Line Project, when placed in-service, will allow Inergy to wheel volumes to and from Stagecoach's South Lateral, TGP, Transco, and the Millennium Pipeline.
North-South Project
The North-South Project seeks to gauge interest for shippers that desire to wheel gas on a firm basis through Inergy's existing North and/or South Laterals of Stagecoach to and from TGP's 300 Line, Inergy's proposed MARC I Hub Line, and the Millennium Pipeline.
The North-South Project includes setting additional compression and expanded measurement facilities at Inergy's existing Millennium and TGP interconnects.
The proposed projects are targeting Northeast shippers seeking: (i) additional market supply flexibility and reliability; (ii) access to additional gas supplies in the market area; (iii) liquid points of sale for locally produced gas from the Marcellus Shale and Trenton-Black River plays, among others; (iv) additional storage opportunities; and (v) capture of pricing differentials between the various interconnected market pipelines.
Rates, including fuel retention, for both projects will be determined after the conclusion of this non-binding Open Season and are dependent upon the final scope of the facilities and firm service commitments. Indicative rates are provided for both projects in each of the non-binding Open Season Packages.
Non-binding Open Seasons for both projects will close August 21, 2009, at 5:00 p.m. CT.
