El Paso Corp. (ticker: EP, exchange: New York Stock Exchange (.N))
News Release -
9-Sep-2002
ANR Pipeline Seeks FERC Approval for Westleg Pipeline ProjectHOUSTON, TEXAS, September 9, 2002—ANR Pipeline Company,
a subsidiary of El Paso Corporation (NYSE:EP), has filed an
application with the Federal Energy Regulatory Commission (FERC) seeking a
Certificate of Public Convenience and Necessity to construct and operate
its WestLeg pipeline project in northern Illinois and southeastern
Wisconsin.
The $42.1-million project includes the installation of a natural gas
pipeline loop along ANR's existing Madison lateral located in Walworth
County, Wisconsin, and replacement of two smaller existing pipelines along
its Beloit lateral located in Rock County, Wisconsin. The project is
designed to increase the pipelines' capacity by 220 thousand dekatherms
per day (Mdth/d), which will serve local natural gas distribution
requirements and electric power generation growth markets.
For the Madison lateral, ANR proposes to add a 26.3-mile, 30-inch
diameter loop pipeline parallel to its existing 10- and 12-inch pipelines,
which will remain in service. Along the 6.5-mile Beloit lateral, ANR plans
to remove its existing 4- and 6-inch pipelines and replace them with a
single 20-inch-diameter pipeline. The existing 8- and 12-inch pipelines
along the Beloit lateral will remain in service. The Beloit construction
will result in fewer pipelines while providing increased capacity to ANR's
customers.
"ANR Pipeline's WestLeg project will provide additional, reliable
natural gas transportation capacity essential to southern Wisconsin's
growing energy requirements in a cost-effective manner that involves
minimal impact to landowners and the environment," said James J.
Cleary, president of ANR Pipeline Company.
In terms of market support, Wisconsin Power & Light (an Alliant
Energy company) has executed a precedent agreement with ANR for
transportation and delivery of 60 Mdth/d of natural gas to its system.
This arrangement is necessary to meet the fuel requirements of the
proposed 600-megawatt Riverside Energy power generation facility. In
addition, ANR and another customer are in discussions regarding an
additional 34 Mdth/d of WestLeg capacity. The project will also provide
operational benefits and cost savings by reducing ANR's reliance on a
third-party pipeline for the delivery of natural gas operationally
required in the Janesville, Wisconsin area.
ANR has met with various state and federal agency representatives and
landowners to apprise them of the project and seek their input. Additional
stakeholder outreach efforts included an August 1, 2002 open house in
Delavan, Wisconsin, which was attended by landowners and local officials.
ANR has acquired the vast majority of the permanent easements necessary
to construct the new facilities, and the new pipelines will be installed
within ANR's existing rights of way. In its FERC application, ANR
requested that a preliminary determination be issued in December 2002, and
final authorizations by July 2003, to allow sufficient time for
construction to meet market timing needs. The WestLeg project has a
projected completion and in-service date of November 2004.
El Paso Corporation is North America's leading provider of natural gas
services. The company has core businesses in natural gas production,
gathering and processing, and transmission, as well as liquefied natural
gas transport and receiving, petroleum logistics, power generation, and
merchant energy services. El Paso Corporation, rich in assets and
fully integrated across the natural gas value chain, is committed to
developing new supplies and technologies to deliver energy to communities
around the world. For more information, visit www.elpaso.com.
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, including, without limitation,
changes in commodity prices for oil, natural gas, and power; general
economic and weather conditions in geographic regions or markets served by
El Paso Corporation and its affiliates, or where operations of the company
and its affiliates are located; the uncertainties associated with
governmental regulation; political and currency risks associated with
international operations of the company and its affiliates; inability to
realize anticipated synergies and cost savings associated with mergers and
acquisitions on a timely basis; difficulty in integration of the
operations of previously acquired companies, competition, and other
factors described in the company's (and its affiliates') Securities and
Exchange Commission filings. While the company makes these statements and
projections in good faith, neither the company nor its management can
guarantee that anticipated future results will be achieved. Reference must
be made to those filings for additional important factors that may affect
actual results.
|