Feds sign off on Denali open season
Joshua Saul |
Jun 07, 2010
Now Alaskans have a second pipeline season to cheer for. On Monday the Federal Energy Regulatory Commission approved the open season plan filed by Denali, which means the BP- and ConocoPhillips-owned project can move ahead with its open season scheduled for July 6. An open season is the period during which pipeline owners solicit commitments from gas owners to ship gas through their line. The Denali project consists of a gas treatment plant on the North Slope, transmission lines from gas fields to the plant, and a main line that will cross Alaska and snake down through Canada's Yukon Territory and British Columbia until it reaches its terminus in western Alberta. Denali figures the whole shebang will cost $35 billion. Bud Fackrell, Denali's president, said the partnership has invested $140 million and 670,000 man hours in developing the plan. "I believe our technical work and our commercial offer provide the best opportunity for potential customers to evaluate the competitiveness of Alaska North Slope natural gas," he said. Denali isn't the only gas pipeline trying to gain traction this year. The Alaska Pipeline Project, a joint effort between TransCanada Corp. and Exxon Mobil Corp., started its open season April 30. (That's the project juiced up by a state license and up to $500 million in state subsidies.) Contact Joshua Saul at jsaul(at)alaskadispatch.com. |












