[Federal Register Volume 59, Number 133 (Wednesday, July 13, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-16929]


[[Page Unknown]]

[Federal Register: July 13, 1994]


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DEPARTMENT OF ENERGY
[Docket No. CP94-631-000]

 

National Fuel Gas Supply Corporation and Laurel Fields Storage 
Company; Notice of Application

July 7, 1994.
    Take notice that on June 28, 1994, National Fuel Gas Supply 
Corporation (National) 10 Lafayette Square, Buffalo, New York 14203, 
and Laurel Fields Storage Company (Laurel Fields), a partnership to be 
formed by National or its affiliate and other equity participants 
following the receipt of Securities and Exchange Commission approval, 
filed in Docket No. CP94-631-000, a joint application, pursuant to 
Sections 7(b) and 7(c) of the Natural Gas Act and Subpart A of Part 157 
and Subpart G of Part 284 of the Commission's Regulations, for a 
certificate of public convenience and necessity, blanket certificates, 
and abandonment authorization.
    Specifically, Laurel Fields seeks a certificate of public 
convenience and necessity authorizing: (1) Conversion of the Callen Run 
production field, located in Jefferson County, Pennsylvania, to an 
interstate natural gas storage field; (2) the acquisition of the 
Limestone Storage Field (formally the Allegheny State Park storage 
field) located in Cattaraugas County, New York, from National; (3) the 
construction and operation of the necessary facilities to develop the 
Callen Run Storage Field and to expand the capacity of the Limestone 
Storage Field; (4) participation in a no-fee exchange with National 
solely for the purpose of maintaining gas service to four retail 
customers who now receive gas off production lines in the Callen Run 
field that will be replaced by new storage pipelines; and (5) the 
abandonment of existing pipelines and a compressor facility that will 
be replaced with new facilities at the Limestone Storage Field.
    Laurel Fields also seeks blanket certificates under Subpart F, Part 
157 and Subpart G, Part 284 of the Commission's Regulations.
    Laurel Fields has proposed to develop the Callen Run field into an 
underground natural gas storage field with 12.1 Bcf of working gas 
capacity and states that the injection of an estimated 10.3 Bcf of base 
gas will be required, and that the field will yield an estimated 130 
MMcf per day of peak withdrawal deliverability. The total cost of the 
Callen Run facilities is estimated to be $76,043,000. It also has 
proposed to further develop the Limestone Storage Field and expand its 
working gas capacity to 7 Bcf, which will require the injection of an 
estimated 3.5 Bcf of additional base gas, and will yield a total peak 
withdrawal deliverability of 77 MMcf per day. The estimated cost of 
facilities for the Limestone Storage Field is $48,687,000. Thus, the 
entire Laurel Fields Storage Project will have a working gas storage 
capacity of 19.1 Bcf with a peak withdrawal rate of approximately 207 
MMcf per day with a total estimated cost of $124,730,000.
    Laurel Fields intend to offer firm and interruptible storage 
services on an open access, non-discriminatory basis in compliance with 
the Commission's blanket certificate regulations at Section 284.221. 
Laurel Fields proposes two firm storage services, Rate Schedules SS-110 
and SS-60, and one interruptible storage service, Rate Schedule SSI. 
The rates proposed to be charged are cost-based in nature. Laurel 
Fields has filed a pro forma tariff consisting of the aforementioned 
rate schedules, General Terms and Conditions, and forms of service 
agreements.
    National seeks permission and approval to (1) abandon its interests 
in the Limestone Storage Field, by assignment to Laurel Fields; (2) 
abandon four delivery points and to relocate one delivery point off 
production pipelines located in the Callen Run Storage Field that will 
be abandoned during the development of the field; and (3) to 
participate in the no-fee exchange with Laurel Fields; as previously 
described.
    In addition, National and Laurel Fields seek any authorizations 
required from the Commission to effectuate a lease of the storage 
capacity (including injection and withdrawal deliverability) in the 
Limestone Storage Field from Laurel Fields to National during the 
construction phase of the project, which is proposed to commence during 
the Spring of 1996. It is also stated that National will require the 
capacity in the Limestone Storage Field until April 15, 1996, in order 
to meet existing contractual service obligations.
    The applicants will be conducting an open season beginning August 
1, 1994 and ending September 1, 1994, during which it will accept 
nominations for firm storage service. The application includes one (1) 
precedent agreement for 2.5 MMDth of long-term storage service with 
National Fuel Gas Distribution Corporation.
    Any person desiring to be heard or to make any protest with 
reference to said application should on or before July 28, 1994, file 
with the Federal Energy Regulatory Commission, Washington, DC 20426, a 
motion to intervene or a protest in accordance with the requirements of 
the Commission's Rules of Practice and Procedure (18 CFR 385.211 and 
385.214) and the Regulations under the NGA (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 jurisdiction conferred upon the Commission by Sections 7 
and 15 of the NGA 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 a grant of the certificate is required by the 
public convenience and necessity. If a motion for leave to intervene is 
timely filed, or if the Commission on its 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 unnecessary for National and Laurel Fields to appear or be 
represented at the hearing.
Lois D. Cashell,
Secretary.
[FR Doc. 94-16929 Filed 7-12-94; 8:45 am]
BILLING CODE 6717-01-M