SAN JUAN GAS LINE CAPACITY DUE SHARP JUMP

Aug. 12, 1991
Gas pipeline capacity out of the San Juan basin in the Four Corners area will increase by more than 1.3 bcfd in two construction projects approved by the Federal Energy Regulatory Commission. The projects will help solve operational problems and answer safety concerns arising because San Juan gathering systems upstream of pipeline bottlenecks were operating at or near maximum operating pressures. Without significant new pipeline capacity out of the San Juan basin, a capacity shortfall estimated

Gas pipeline capacity out of the San Juan basin in the Four Corners area will increase by more than 1.3 bcfd in two construction projects approved by the Federal Energy Regulatory Commission.

The projects will help solve operational problems and answer safety concerns arising because San Juan gathering systems upstream of pipeline bottlenecks were operating at or near maximum operating pressures.

Without significant new pipeline capacity out of the San Juan basin, a capacity shortfall estimated at 500600 MMcfd could have reached 800 MMcfd to 1 bcfd by next spring.

FERC approved these projects at its last meeting before starting a 6 week recess ending Sept. 11:

  • El Paso Natural Gas Co. received approval for a $241.5 million plan consisting of an 835 MMcfd expansion of its San Juan triangle pipeline system, a 406 MMcfd expansion of its westbound mainline, and installation of bidirectional transportation to allow easterly gas flow of as much as 429 MMcfd on its Permian basin-San Juan basin crossover.

  • Transwestern Pipeline Co. received final approval of plans to lay a 520 MMcfd lateral from the San Juan basin to its mainline and expand mainline capacity by 340 MMcfd.

FERC used a phased procedure to process Transwestern's application, granting the company on Jan. 17, 1991, a preliminary determination on nonenvironmental issues.

Because of the phased procedure, Transwestern expects to complete the $258 million project within 16 months of original application date.

EL PASO PLANS

El Paso will begin construction late this month with two of its project's four spreads. El Paso expects to place the new capacity in service by Apr. 1, 1992.

El Paso's San Juan triangle expansion will increase capacity on its system to 2.5 bcfd for gas leaving the basin. The company plans to lay 53.4 miles of 42 in. loop between the Blanco, N.M., compressor station and Valve City, N.M., and add 12,000 hp of compression at the White Rock, N.M., station.

Capacity on its westbound San Juan mainline from the San Juan triangle to mainline terminus at the Arizona-California border, near Topock, Ariz., will be expanded to 2.12 bcfd by laying 139.5 miles of 34 in. and 36 in. loop and increasing compression at four stations by a total of 23,500 hp.

The company will achieve bidirectional flow on its 638 mile Permian-San Juan crossover extending to Plains compressor station in Yoakum County, Tex., by modifying piping at Caprock, Lincoln, and Belen, N.M., compressor stations, laying 39.2 miles of 42 in. loop, and installing a 12,000 hp compressor at White Rock.

El Paso estimated that eliminating capacity constraints for San Juan gas will displace as much as 138,000 b/d of oil.

TRANSWESTERN DETAILS

FERC's preliminary determination of Transwestern's application filed last Sept. 25 allowed the company to secure materials, obtain rights-of-way, and sign construction contracts. As a result, Transwestern was prepared to begin construction immediately upon FERC approval. For the San Juan lateral, Transwestern will install a compressor station near its Blanco, N.M., gas processing plant, then lay 100 miles of 30 in. line to a connection with its mainline near Thoreau, N.M.

For the mainline expansion, the company will lay about 200 miles of 30 in. loop and make minor changes at compressor stations.

Cost of the San Juan lateral is estimated at $93 million. Mainline expansion will cost about $165 million.

Transwestern hired Gregory & Cook Inc., Houston, and Henkels & McCoy Inc., Blue Bell, Pa., to lay the San Juan lateral and expand its mainline.

Plans call for Gregory & Cook to begin laying the lateral about mid August. The company also has contracts to lay a 37.5 mile loop from McKinley County, N.M., to a point west of compressor Station 4 in Apache County, Ariz.; a 42.5 mile loop from Navaho County, Ariz., to Station 3 in Coconino County, Ariz.; and a 36.5 mile loop on either side of Station 2 in Coconino County.

Henkels & McCoy will lay a 50 mile loop from Yavapai County, Ariz., to a point west of Station 1 in Mohave County, Ariz., and a 29 mile loop in Mohave County ending at the Arizona-California line.

Transwestern Pres. Terence H. Thorn said the company's San Juan lateral will provide critically needed pipeline capacity to rising flow from coal seam wells.

In addition to increasing capacity to West Coast markets through Southern California Gas Co., new mainline capacity will allow Transwestern to deliver gas to customers in northern California markets served by Pacific Gas & Electric Co. and in Arizona served by Southern Union Gas Co. Transwestern also will have access to markets to be served by Mojave pipeline, currently under construction.

Transwestern said the new capacity can displace 51,000 b/d of oil in California.

Copyright 1991 Oil & Gas Journal. All Rights Reserved.