|
Market Presentation (HTML
Version) (PowerPoint Version)
Producer Presentation (HTML
Version) (PowerPoint Version)
The Western Frontier Pipeline was originally
designed as a 400 mile, 30" pipeline with 30,000 HP of compression,
designed to transport up to 540,000 dth/d from the Cheyenne Hub
south to the Denver-Julesberg basin, then on to the mid-continent
region terminating in Beaver County, Oklahoma. Potential major
interconnects include Southern Star Central in Grant County, Kansas
and Beaver County, Oklahoma, as well as ANR Pipeline, Northern
Natural Pipeline, Natural Gas Pipeline, and Panhandle Eastern
Pipeline. These major interstate pipelines have takeaway design
capacity in excess of 6 Bcfd. Western Frontier also may provide
convenient access to the Kansas and Oklahoma intrastate systems.
The pipeline contemplated would have an initial capacity ranging
from 540,000 Dth/d to 1,000,000 Dth/d, which will be determined
by market interest, and could be economically expanded by adding
additional compression. Currently SSC anticipates contracts for
a minimum 10-year term with competitive rates in the $0.25 -$0.35
range will support the project economics. SSC expects that a larger
project would capture economies of scale that would result in
the most favorable rates.
Additionally, Southern Star is evaluating a
potential expansion of its facilities from the Wamsutter/Echo
Springs area to the Cheyenne Hub. Interested parties should indicate
contract quantities and the rate they would be willing to pay
for incremental service from this expansion. Southern Star would
then evaluate the economics required to support this expansion.
|