Alberta Energy to expand Wild Goose gas storage field in California

Wild Goose Storage Inc., a wholly owned subsidiary of Alberta Energy Co. Ltd., has applied to the California Public Utilities Commission to double the storage size and triple the withdrawal capacity of its gas storage facility near Gridley, Calif.


By the OGJ Online Staff

HOUSTON, June 20 -- Wild Goose Storage Inc., a wholly owned subsidiary of Alberta Energy Co. Ltd., has applied to the California Public Utilities Commission to double the storage size and triple the withdrawal capacity of its gas storage facility near Gridley, Calif.

Wild Goose plans to increase working gas capacity to 29 bcf from 14, withdrawal capacity to 700 MMcfd from 200, and injection capacity to 450 MMcfd from 80.

Rick Daniel, Wild Goose president, said, "The dramatic natural gas price volatility that has recently occurred in California is a clear indication of the need for additional natural gas infrastructure in the state. Construction of new gas-fired electrical generation in and around California over the next few years is anticipated to increase the need for gas storage capacity.

"The positive results from our open season indicate that our customers want more storage capacity in northern California, and the current Wild Goose capacity is fully subscribed."

Wild Goose's recent open season, which closed May 22, generated numerous requests for additional storage capacity from a diverse group of participants who asked for terms ranging from 2 to 30 years (average of 11.5 years). Wild Goose expects to execute binding precedent agreements with customers who filed qualified requests for additional space.

Expansion plans include construction of 25 miles of pipeline from the Wild Goose facility to Pacific Gas & Electric Co.'s trunkline. The storage facility will be improved by increasing compression and by drilling wells.

Wild Goose expects the new facilities will be completed by April 1, 2004, assuming normal regulatory processing. With expedited processing, completion could come in 2003.

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