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Iroquois pipeline eyes Canadian export capacity: Iroquois

Houston (Platts)--3 Dec 2013 209 pm EST/1909 GMT


Iroquois Gas Transmission is considering opening up south-to-north capacity on its pipeline from New York City to the US-Canada border, according to an open season notice posted Tuesday.

The company is holding a non-binding open season for the SoNo Project to gauge interest in up to 300,000 Dth/d of export capacity to Canada at Waddington, New York, while reserving the right to only accept bids of at least 15 years, the notice said.

By making minor modifications to the existing system, Iroquois could achieve a November 2016 in-service date, and the level of interest expressed in the open season will determine the facilities to be constructed to physically flow gas north into Canada, the notice said.

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The company has another open season underway to enable receipt of gas from Iroquois and other eastern Canadian supply points beginning in 2016.

Iroquois began operations flowing gas from Canada to the New York City area in 1992, but in recent years gas production in Pennsylvania has rapidly expanded to over 13 Bcf/d, the notice said.

The prolific production from Marcellus and Utica shale regions has prompted multiple pipelines to reverse flows to take gas away from the area. Constitution Pipeline is planning to construct a 650,000 Dt/d pipeline from Susquehanna County, Pennsylvania, to Iroquois at Wright, New York, with an in-service date of March 2015, the notice said.

Dominion Transmission recently held an open season for up to 250,000 Dt/d from Leidy, Pennsylvania, to Iroquois at Canajoharie, New York, with an in-service date of November 2016.

And Algonquin Gas Transmission currently supplies up to 345,000 Dt/d to Iroquois shippers at Brookfield, Connecticut. The company is also looking into expanding its capacity into New England by up to an additional 342,000 Dt/d with an in-service date of November 2016 through its AIM project, the notice said.

TransCanada currently has an open season underway to receive natural gas from Iroquois and other eastern Canadian supply points beginning in 2016, the notice said.

--T.L. Hamilton, tiffany.hamilton@platts.com
--Edited by Richard Rubin, richard.rubin@platts.com

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