Transwestern Pipeline Company Plans Natural Gas Pipeline Expansion

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Researched by Industrialinfo.com (Industrial Information Resources, Incorporated; Houston, Texas). Transwestern Pipeline Company, a business unit of CrossCountry Holdings LLC (Houston, Texas), a subsidiary of Southern Union Company (NYSE:SUG )(Wilkes-Barre, Pennsylvania), is in the early planning stages for its Sun Devil Phase II expansion in the desert southwest. The planned expansion will incorporate a combination of new pipeline, pipeline looping, and a major compression addition and could end up costing as much as $400 million to construct. Transwestern plans to construct a new 200 mile 30" or 36" diameter pipeline lateral from Ash Fork to Phoenix, Arizona, and construct 30 miles of 36" diameter pipeline looping near Farmington, New Mexico, along its existing San Juan Lateral.

To support this expansion, Transwestern will expand its Klagetoh compressor station number 4 near Ganado, Arizona. A new 41,500 horsepower GE LM2500+ turbine compressor package will be installed at compressor station number 4 and the three existing 4,000 internal combustion engine packages will be retired either by abandonment or removal.

Transwestern expects to file the project with the FERC in mid-2005 and hopefully begin construction in 18 months, with completion slated for seven months later. Transwestern began construction on the initial phase of Sun Devil in October of 2004 and expects to place it into service in during 2005.

For details read related May 4, 2004, news article - Transwestern Pipeline Moves Closer to Expanding its San Juan Pipeline

Transwestern Pipeline owns and operates 2,400 miles of natural gas pipeline. The Transwestern system transports natural gas from the San Juan, Anadarko, and Permian Basins to markets in Texas, Arizona, New Mexico, California and the Midwest.

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