El Paso Corp. (ticker: EP, exchange: New York Stock Exchange (.N))
News Release -
TransColorado Gas Transmission Company Announces Restructured Partnership
LAKEWOOD, COLORADO, June 30, 1997-In conjunction with TransColorado Gas Transmission
Co.'s recent announcement to proceed with the construction and in-service of Phase II
of the TransColorado Pipeline Project, the partners today have announced a restructured
arrangement for the project.
Previously, TransColorado has been an equal one-third partnership among affiliates of KN
Energy, Inc. (NYSE: KNE), El Paso Energy Corporation (NYSE: EPG) and Questar
Corporation (NYSE: STR).
Under this restructured arrangement, an affiliate of El Paso will continue as the
operator and revenue participant of Phase I of TransColorado until such time as Phase II
of the project is completed and in service. Phase I of the project consists of
approximately 22.5 miles of 24-inch pipe and 2.5 miles of 16-inch pipe from the discharge
of the Coyote Gulch Gas Plant to an interconnect with El Paso at Blanco, N.M.
Phase II of the project will now become an equal, one-half partnership between affiliates
of KN Energy and Questar. Phase II, which is anticipated to be in-service by the fourth
quarter of 1998, is now proposed to consist of approximately 270 miles of 22- and 24-inch
pipe. In addition, there will be two mainline compressor stations totaling approximately
10,000 nominal site-rated horsepower, extending from an interconnect with the mainline
transmission facilities of Questar Pipeline Co.in the Big Hole area of Rio Blanco County
in northwest Colorado to the Phase I mainline transmission facilities located in
northwestern New Mexico.
KN Energy, Inc
S. Curt Burnett
This release includes forward-looking statements and projections,
made in reliance on the safe harbor provisions of the Private Securities Litigation Reform
Act of 1995. The company has made every reasonable effort to ensure that the information
and assumptions on which these statements and projections are based are current,
reasonable, and complete. However, a variety of factors could cause actual results to
differ materially from the projections, anticipated results or other expectations
expressed in this release. While the company makes these statements and projections in
good faith, neither the company nor its management can guarantee that the anticipated
future results will be achieved. Reference should be made to the company's (and its
affiliates') Securities and Exchange Commission filings for additional important
factors that may affect actual results.