Spectra Energy's Texas Eastern Holds Open Season For TEAM 2012 Expansion Program In US Northeast

Published: 17-Nov-2009

Spectra Energy Corp's (Spectra Energy) Texas Eastern Transmission, LP (Texas Eastern) has announced a binding open season for TEAM 2012, a proposed expansion of its existing Texas Eastern system to deliver additional Appalachian and Marcellus Shale natural gas supplies to premium markets in the US Northeast. The TEAM 2012 Expansion Project will target a capacity expansion of 300 million cubic feet per day (Mmcf/d), with an estimated fourth quarter 2012 in service.

The expansion will provide interested shippers with the opportunity to nominate transportation services from multiple existing and proposed receipt points on the Texas Eastern system within the Appalachian and Marcellus Shale production regions to delivery points in Texas Eastern’s market area.

Spectra Energy has signed a binding agreement for a minimum of 150 Mmcf/d of firm transportation capacity with an affiliate of Range Resources Corporation as part of the TEAM 2012 expansion.

“We are pleased to have Range Resources as the anchor shipper for TEAM 2012 and look forward to working with other producers in the region for the remaining capacity,” said Bob Riga, general manager, Spectra Energy Transmission.

“Texas Eastern has a long history of developing and constructing well-timed, cost-effective pipeline expansions and our desirable geographic position in the Marcellus Shale region makes us a preferred choice for producers seeking flexible timing and transportation options for getting their gas to market,” said Riga.

The open season for the TEAM 2012 expansion will commence November 17, 2009, and end December 1, 2009.

Texas Eastern will initiate discussions to ascertain market interest for the next TEAM Expansion Project through another open season to be announced later this month. TEAM 2013, with an estimated late 2013 in service, will target a capacity expansion of 500 Mmcf/d, but is not restricted to this target capacity amount and will be scalable and sized to meet customer needs.