[Federal Register Volume 60, Number 227 (Monday, November 27, 1995)]
[Notices]
[Pages 58344-58345]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-28788]
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DEPARTMENT OF ENERGY
[Docket No. CP96-60-000]
Northwest Pipeline Corporation; Notice of Application
November 20, 1995.
Take notice that on November 13, 1995, Northwest Pipeline
Corporation (Northwest), 295 Chipeta Way, Salt Lake City, Utah 84108,
filed an application pursuant to section 7(b) of the Natural Gas Act
for permission and approval to abandon an ownership interest in certain
of it facilities by sale to Transwestern Pipeline Company
(Transwestern), certain related transportation agreements and operation
of the facilities, all as more fully set forth in the application which
is on file with the Commission and open to public inspection.
Northwest proposes to (1) abandon, by sale to Transwestern, an
undivided 77.7 percent ownership interest in Northwest's existing and
planned facilities extending from the outlet of its La Plata ``B''
compressor near Ignacio, Colorado southward to the jointly owned Blanco
Hub near Bloomfield, New Mexico (La Plata Facilities); (2) abandon, by
assignment of the underlying agreements to Transwestern, existing firm
transportation between receipts point on the La Plata Facilities, which
has been authorized under Northwest's blanket certificate; and (3)
abandon its certificated operation of the La Plata Facilities and two
third-party meter stations connected to the La Plata Facilities, in
favor of Transwestern assuming such operation.
Northwest states that its exiting La Plata Facilities include the
La Plata ``A'' Compressor Station near Ignacio, approximately 33 miles
of 30-inch pipeline from that station to the Blanco hub and various
receipt or delivery facilities at third-party interconnections with the
La Plata pipeline. It is stated that the planned additions to the La
Plata Facilities, which will be installed under Northwest's blanket
certificate authority as a necessary precursor to the proposed
abandonment, include a new meter station between Northwest's La Plata
``B'' compressor outlet and La Plata ``A'' compressor inlet and a new
meter station, with approximately 600 feet of 24-inch piping, from the
Williams Gas processing Company Ignacio Plant to the La Plata ``A''
compressor inlet.
It is stated that pursuant to a Purchase and Sale Agreement dated
November 3, 1995, Transwestern will acquire the proposed 77.7 percent
ownership interest in the La Plata Facilities at a price equal to 77.7
percent of the net book value on the closing date. If the closing were
to occur at year end 1996, Northwest contends that the total net book
value of the La Plata Facilities, including the planned facility
additions, is projected to be approximately $25.6 million, resulting in
a purchase price of about $19.9 million.
Northwest states that the 22.3 percent ownership in the La Plata
Facilities to be retained by Northwest will provide 212,788 Dth per day
of north flow capacity from various La Plata Facility receipt points to
Northwest's wholly-owned mainline, plus 23,811 Dth per day of south
flow capacity from Northwest's mainline to a La Plata Facility delivery
point. Northwest contends that these retained capacities are the
quantities required for Northwest to continue accommodating existing
long-term firm contract obligations to provide transportation to and
from the La Plata Facilities.
It is stated that Northwest will operate the La Plata Facilities
pursuant to the terms and conditions of an Ownership and Operating
Agreement dated November 3, 1995. Northwest and Transwestern will share
the operating expenses of the La Plata Facilities and will each treat
its respective ownership interest in the La Plata Facilities as an
integral part of its own pipeline system, with transportation
transactions thereon subject to the applicable owner's open-access
transportation tariff.
Any person desiring to be heard or to make any protest with
reference to said application should on or before December 11, 1995,
file with the Federal Energy Regulatory Commission, Washington, D.C.
20426, a motion to intervene or a protest in accordance with the
requirements of the Commission's Rules of Practice and Procedure (18
CFR 385.214 or 385.211) and the Regulations under the Natural Gas Act
(18 CFR 157.10). All protests filed with the Commission will be
considered by it in determining the appropriate action to be taken but
will not serve to make the protestants parties to the proceeding. Any
person wishing to become a party to a proceeding or to participate as a
party in any hearing therein must file a motion to intervene in
accordance with the Commission's Rules.
Take further notice that, pursuant to the authority contained in
and subject to the jurisdiction conferred upon the Federal Energy
Regulatory Commission by Sections 7 and 15 of the Natural Gas Act and
the Commission's Rules of Practice and Procedure, a hearing will be
held without further notice before the Commission or its designee on
this application if no motion to intervene is filed within the time
required herein, if the Commission on its own review of the matter
finds that permission and approval for the proposed abandonment are
required by the public convenience and necessity. If a motion for leave
to intervene is timely filed, or if the Commission on its own motion
believes that a formal hearing is required, further notice of such
hearing will be duly given.
Under the procedure herein provided for, unless otherwise advised,
it will be
[[Page 58345]]
unnecessary for Northwest to appear or be represented at the hearing.
Lois D. Cashell,
Secretary.
[FR Doc. 95-28788 Filed 11-24-95; 8:45 am]
BILLING CODE 6717-01-M
