questar pipeline customer meeting march 2015 · opal goshen wamsutter ... •2015 open season...

March 2015

Park City, Utah

Questar Pipeline Customer Meeting

Making lives better by developing and delivering essential energy

2

Continued record of safe, efficient and reliable pipeline operations

Strong results in INGAA Inaugural Safety Culture Survey

QPC consolidated contract demand growth (2%)

Completed ML-3 Weber Canyon Replacement Project

Received FERC approval for Overthrust (JTL-139) lateral and tap to serve Simplot Phosphates

Inland California Express Crude Terminal and Pipeline Project Progressing

3

Customer

Re-contracting

Rates, Services and Cost Recovery

New Pipeline Expansion Projects

Storage Expansion

Non-traditional Growth Projects

Remain Cost Competitive

4

O&M/dth includes Storage and 50% of WRH without QPC Contract

Contract

Demand O&M/dth

$0.00

$5.00

$10.00

$15.00

$20.00

$25.00

0

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

2006 2007 2008 2009 2010 2011 2012 2013 2014

Contract Demand Dth/day O&M/dth

5

Maintain QPC’s record of safe, reliable and efficient pipeline operations

Expand integrity management program and upgrade DOT compliance system

Final Section of Main Line 3 Replacement Project

Re-contract Southern Trails Pipeline East

Contract Inland California Express capacity

6

Pipeline Safety Act Reauthorization - 2015 INGAA IMCI commitments

PHMSA Gas Transmission Rulemaking

PHMSA Budget and User Fees

Gas-Electric Coordination FERC Gas Day and Scheduling Timeline Proceeding

More timely approval of new natural gas infrastructure

EPA’s Clean Power Plan under Section 111(d) of CAA Impact on future demand for natural gas

Implications for natural gas infrastructure Pipeline Methane Emissions (GHG Impact)

Energy Secretary Moniz Methane Emissions Roundtables

EDF Study to quantify methane emissions for the Natural gas industry

White House Plan to Cut Methane Emissions

New DOT pipeline regulations that will lower methane emissions

7

Thank You!

8


9

January 31, 2015 Working Gas Inventory is 24.49 MMDTH

10

2015 QPC Projected Line Work: April 7 - 22

Clay Basin Reservoir Test

OPAL

GOSHEN

WAMSUTTER

Overthrust Pipeline

Questar Pipeline

Other Pipelines

Clay Basin Reservoir Test April 7-22 • March 16: OFO’s issued to

firm shippers • April 1-6: WD only, no INJ • April 7: 275 MMcf

conditioning withdrawal • April 8: 325 MMcf test

withdrawal • April 9-22: Shut in,

transfers only • April 23: Normal operation

11

2015 QPC Projected Line Work: May - July

OPAL

GOSHEN

WAMSUTTER

WHITE RIVER HUB

Overthrust Pipeline

Questar Pipeline

Other Pipelines

Oak Spring DOTs May 19-21

ML 2 & ML 14 span replacements & FL 54 tap

maintenance, June

ML 16 segment replacement, June

• ML 22 ILI, Powder Wash to Simon, June

• Simon to Nightingale ILI July 7-9, Reduce noms by 90 MMcf/d

ML 3 final segment replacement, July

12

2015 QPC Projected Line Work: August - September

OPAL

GOSHEN

WAMSUTTER

WHITE RIVER HUB

Overthrust Pipeline

Questar Pipeline

Other Pipelines

ML 41 ILI August

JL 113 ILI August

Clough Junction Tie No flow 5 days

August

Pete’s Wash to Fidlar ILI September

13

2015 QPC Projected Line Work: October 1-16

Clay Basin Reservoir Test

OPAL

GOSHEN

WAMSUTTER

Overthrust Pipeline

Questar Pipeline

Other Pipelines

Clay Basin Reservoir Test October 1-16 • October 1-5: Injection

only, no withdrawal • October 6: 200 MMcf

conditioning injection • October 7: 300 MMcf test

injection • October 8-15: Shut in,

transfers only • October 16: Normal

operation

14

TBD: WIC-OTPL meter run pressure testing and cleaning

No flow for 4 days

September: Ruby Station control valve maintenance

No customer impact expected at this time

TBD: Rock Springs Station DOT’s

No customer impact expected at this time

15

May 13-14: Red Mesa – Cameron Gauge Pig

▪ Anticipate 30 MMcf/d reduction

May 20-22: Red Mesa Overhaul / Smart Pig


June 3: 12”/20” JCT – Red Mesa Gauge Pig


June 10-12: Shiprock Overhaul / Smart Pig


16

No work scheduled at this time

17

Thank You!

18


19

• Overthrust Pipeline: • March 2015 Long Term Unsold Capacity Report • Potential Expansions

• Questar Pipeline:

• March 2015 Long Term Unsold Capacity Report • QPC Potential Expiring Contracts

20

SW Pipelines: 3.0 BCF

Kern River: 1.6 BCF

TOPOCK

PG&E Redwoods: -2.0 BCF

PG&E Baja: -1.1 BCF

SOCAL Gas: -2.7 BCF

Production: 0.3 BCF

Sources: 2014 California Natural Gas Outlook & Pipeline Websites

San Diego Gas: -0.3 BCF

Jordan Cove Demand: -1.0 BCF

MALIN

GTN: 2.3 BCF

GTN: 2.7 BCF

Ruby: 1.5 BCF

KINGSGATE

OPAL

NWP: 0.6 BCF

NWP: 1.3 BCF

SUMAS

• Anticipated increase in

deliveries of gas from

East to West on REX

and WIC as production

volumes increase

• Overthrust Pipeline is

able to expand and

meet increased

deliveries to the west

(California, Potential

LNG facilities,

Methanol, Exports to

Mexico)

21

REX

WIC

RATES ($/Dth): East Flow: $0.11413 West Flow: $0.0712

• Currently 208,445 Dth/d of capacity available to Ruby (Effective March 1, 2015) • Meter sized at 1,212,000 Dth/d

• With various scenarios of compression additions and/or compressor restaging, incremental capacity can be added for deliveries to Ruby

22

Roberson

Creek (KRGT)

M

Hams Fork (KRGT)

Hams Fork Meter Capacity

Whitney

Canyon

Eakin

QPC

Painter (KRGT)

WIC

XO-16

OPAL

(QPC)

JL 95

Naughton

(QPC)

Rock

Springs

Clear Creek

(CLSC)

REX

Wamsutter

Long Term

Unsold Firm Capacity

PIPELINE ABBREVIATIONS

KRGT - Kern River Gas Transmission Co.

QPC - Questar Pipeline Co.

WIC - Wyoming Interstate Co., Ltd.

REX - Rockies Express Pipeline

CLSC- Clear Creek Storage Company, L.L.C

WIC

LEGEND

Volume in Dth/d

Delivery Point Meter Station

Main Line Compressor Station

S

M

C

0

Storage Facilities

Connecting Pipelines

S

C C

Point Of

Rocks

C

(QPC)

50,000

50,000

236,460

127,490

100,000

282,840

294,300

Ruby

Pipeline

113,000

100,000

300,000

52,880

38,900

50,000

227,460

April 2015

7,300 M

M

M

M

M

M

M

M M

M

M

23

REX

WIC

• Restaging of compression at Rock Springs and Point of Rocks • Upgrade measurement at Wamsutter and Rock Springs • Incremental capacity to Ruby: 282,000 Dth/d + (Jan 2018; 429,000 Dth/d LTU)

• Assuming receipts in Rock Springs Area and Wamsutter

Restage Compression

New Compression

Upgrade Measurement

24

REX

WIC

• Restaging of compression at Roberson Creek, Rock Springs and Point of Rocks • Additional compression at Roberson Creek , Rock Springs and potentially Point of

Rocks • Upgrade measurement at Wamsutter, Ruby and Rock Springs • Incremental capacity to Ruby: 592,000 Dth/d + (Jan 2018; 429,000 Dth/d LTU)


Restage Compression

New Compression

Upgrade Measurement

25

REX

WIC

• Restaging of compression at Roberson Creek, Rock Springs and Point of Rocks • Additional compression at Roberson Creek and Rock Springs • Upgrade measurement at Wamsutter, Ruby and Rock Springs • Incremental capacity to Ruby: 621,000 Dth/d + (Jan 2018; 429,000 Dth/d LTU)


Restage Compression

New Compression

Upgrade Measurement

26

KANDA/COLEMAN SUMMARY

Nitchie Gulch to WIC, CIG & QOPC

West of Nightingale to WIC, CIG & QOPC

East of Nightingale to WIC, CIG & QOPC

PIPELINE ABBREVIATIONS LEGEND

CIG - Colorado Interstate Gas Co


QOPC - Questar Overthrust Pipeline Co.

QGC - Questar Gas Company

TCGT - TransColorado Gas Transmission

NPC - Northwest Pipeline Corp.

RMNG - Rocky Mountain Natural Gas


WGPC - Williams Gas Pipeline Central.

WRH- White River Hub, LLC.

Volume in Dth/d



S

M

C

0

Storage Facilities


C

C TCGT

Fidlar

Natural

Buttes

C RMNG

Rifle

20,000

M.L

.80

17,350

S

Clay

Basin

Atmos

Energy

C

14,140

Dripping

Rock

State

Line

M Skull

Creek

C

Simon

25,330

M

C Nightingale

M.L

.58

M M

QOPC

M Roberson Creek

Whitney

Canyon QOPC

S

Leroy 38,420 Eakin 16,930

CIG

WIC

M.L.40 2,000

Oak

Spring

M

M

M

M

M

M

M

QGC Indianola

Nephi

City

Payson

Gate

S Chalk Creek

S

Coalville

Little

Mountain

Porters

Lane

Sunset

Gate

Hyrum

Gate

QGC

QGC

QGC

QGC

QGC

IDAHO WYOMING

UTAH

COLORADO

NPC

South

Lake

M C Kanda/Coleman

Price 0 M

Dragon Trail

144,370 NPC

XO-16

190,070

C

13,240

CO2 Plant

C M

Goshen

M 2,000

14,160

14,160

14,160

Long Term


M

M Hams Fork

C

Thistle

C

M.L.104

J.L

. 4

7 /

13

8

Blind

Canyon

42,380

4,130

M M WRH

18,550

M

3,100

April 2015

7,500

14,160

12,350

2,000

M

Wamsutter 0

Altamont

Myton

C

Thistle 2

61,960

27

OPAL

WHITE RIVER HUB

WAMSUTTER

GOSHEN

Rock Springs / Kanda

Fidlar

Price

Overthrust Pipeline

Questar Pipeline

Natural Gas Hub

Clay Basin Storage

GREEN RIVER BASIN

12,000

30,000 10,000

34,225 8,000

28

• QPC anticipates increased East to West flows via REX and

WIC to western markets

• QPC has the ability to expand Overthrust Pipeline to meet

incremental needs to deliver gas to western markets

(California, Pacific Northwest, LNG Export, Methanol, Export

to Mexico)

• Long Term Unsold Capacity Opportunities on both QPC and

Overthrust

• Additional capacity may be available throughout the year on

QPC as contracts expire

29


31

• Southern System Expansion Opportunities

• Fidlar Expansion

• Main Line 68 Expansion

32

Main Line 104 73 miles (24”) - 2001

Southern Expansion (SSXP) 19 miles (24”) - 2005

Southern Exp. 2 (SSXP 2) 48 miles (24”) - 2007

Goshen

Oak Spring Price

Green River Block Valve

Fidlar

Uinta Basin Processing Plants

Main Line 104 Extension 24.6 miles (24”) - 2011

•2001 ML 104 -272,000 Dth •2005 SSXP – 102,000 Dth • 2007 SSXP 2 – 175,000 Dth

•2011 ML 104 Extension – 144,000 Dth (renegotiated contracts)

ML 104 Volume Growth MDth/d

33

PROPOSED FIDLAR COMPRESSION

GOSHEN- KRGT

ML 40

JL 4

7

PRICE

Uta

h C

olo

rado

PAYSON - QGC

Project Scope

• Additional compression at Fidlar

• Incremental 80,000-100,000 Dth/day

Shipper Benefits

•Supply accessibility •Premier market delivery

• Kern River - Goshen • QGC – Payson • Power Generation

Open Season

• 2015 Open Season • Market support to determine actual

scope • 10 year term at QPC Max Rate

• Anticipated 2017 in-service

POWER GENERATION

34

FIDLAR

WHITE RIVER HUB

BULL MOUNTAIN

Co

lorad

o

Uta

h

POTENTIAL NEW COMPRESSION ON

ML 68

Project Scope

• Compression near Clough • Possible mainline pressure

upgrade • Incremental 50,0000 Dth/day

Shipper Benefits

• Increased supply access on ML 68 • Receipt point flexibility for existing

shippers • Additional markets available

when coupled with existing unsold capacity

Open Season

• 2015 Open Season • Market support to determine actual

scope • 10 year term at QPC Max Rate

• Anticipated 2017 in-service

35

KANDA/COLEMAN SUMMARY

Nitchie Gulch to WIC, CIG & QOPC

West of Nightingale to WIC, CIG & QOPC

East of Nightingale to WIC, CIG & QOPC

PIPELINE ABBREVIATIONS LEGEND

CIG - Colorado Interstate Gas Co


QOPC - Questar Overthrust Pipeline Co.

QGC - Questar Gas Company

TCGT - TransColorado Gas Transmission

NPC - Northwest Pipeline Corp.

RMNG - Rocky Mountain Natural Gas


WGPC - Williams Gas Pipeline Central.

WRH- White River Hub, LLC.

Volume in Dth/d



S

M

C

0

Storage Facilities


C

C TCGT

Fidlar

Natural

Buttes

C RMNG

Rifle

20,000

M.L

.80

17,350

S

Clay

Basin

Atmos

Energy

C

14,140

Dripping

Rock

State

Line

M Skull

Creek

C

Simon

25,330

M

C Nightingale

M.L

.58

M M

QOPC

M Roberson Creek

Whitney

Canyon QOPC

S

Leroy 38,420 Eakin 16,930

CIG

WIC

M.L.40 2,000

Oak

Spring

M

M

M

M

M

M

M

QGC Indianola

Nephi

City

Payson

Gate

S Chalk Creek

S

Coalville

Little

Mountain

Porters

Lane

Sunset

Gate

Hyrum

Gate

QGC

QGC

QGC

QGC

QGC

IDAHO WYOMING

UTAH

COLORADO

NPC

South

Lake

M C Kanda/Coleman

Price 0 M

Dragon Trail

144,370 NPC

XO-16

190,070

C

13,240

CO2 Plant

C M

Goshen

M 2,000

14,160

14,160

14,160

Long Term


M

M Hams Fork

C

Thistle

C

M.L.104

J.L

. 4

7 /

13

8

Blind

Canyon

42,380

4,130

M M WRH

18,550

M

3,100

April 2015

7,500

14,160

12,350

2,000

M

Wamsutter 0

Altamont

Myton

C

Thistle 2

61,960

36

• Primary QPC Southern System markets remain robust

• QGC at Payson

• Kern River at Goshen

• White River Hub

• Power Generation

• Fidlar and Main Line 68 expansion projects provide

new and existing shippers added supply flexibility and

value in delivering to key downstream markets

37

Thank You!

38

questar pipeline customer meeting march 2015 · opal goshen wamsutter ... •2015 open season...

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