Transportation news briefs, May 8

Sinochem ... Global Offshore Mexico ... PEMEX ... Maritimes & Northeast Pipeline ... Duke Energy Gas Transmission ... Florida Gas Transmission ... eCORP Holding ... Statoil ... Pipeline Power Partners ... Litton Avondale Industries ... Texas Railroad Commission


China National Chemicals Import & Export Corp. plans to build a crude oil tank farm in eastern China's Zhejiang province. The seven tanks, to be built on Aoshan Island, will have capacity of 380,000 cu m. Construction is expected to start in June and cost 180 million yuan.

PEMEX Exploration & Production, an affiliate of Petroleos Mexicanos SA, has selected Global Offshore Mexico S. de RL de CV, a subsidiary of Global Industries Ltd., Houston, to update two large-diameter pipeline systems in Mexico's Bay of Campeche. The contract is for $40 million. Global will use the 400-ft pipelay/derrick barge Shawnee on both projects off the coast of Ciudad del Carmen.

Maritimes & Northeast Pipeline LLC and Algonquin Gas Transmission Co. said the US Federal Energy Regulatory Commission has issued positive preliminary determinations on the Maritimes Phase III and Algonquin Hubline projects. Final approval of the certificates to construct and operate the pipelines in eastern Massachusetts depends upon favorable environmental reviews.

Duke Energy Gas Transmission, a subsidiary of Duke Energy Corp., Charlotte, NC, has started a month-long open season to determine shipper interest in a proposed gas pipeline. Duke is evaluating the Alabama-Georgia Energy System, which would involve construction of an interstate pipeline from the Mobile Bay area to the southern portions of both states.

Florida Gas Transmission Co., a wholly owned subsidiary of Citrus Corp., has placed in service its Phase IV Expansion, adding 134 miles of pipeline and more than 38,000 hp of compression and associated facilities to its gas transmission system. FGT will provide an average of 200 MMcfd of incremental firm transportation service.

eCORP Holding LLC supplied erroneous data that OGJ Online reported Apr. 19. The Stagecoach gas storage project is in Oswego, NY, not Owego, and will have withdrawal capacity of 500,000 dekatherms/day, not 500 million dekatherms/day.

Statoil AS said testing has found that weak welds in pipe joints on the Norwegian Sea's Åsgard field are less serious than originally believed. Tests show 24 welds need to be repaired. Ten welds are still being assessed. When the problem was discovered in January, it was estimated more than 70 welds needed repair.

Pipeline Power Partners LP, Houston, and SNC-Lavalin Corp. won an engineering, procurement, and construction contract with Central New York Oil and Gas Co. The contract is for a gas storage compression facility and associated processing equipment to operate the Stagecoach Gas Storage Project in Tioga County, New York.

Litton Avondale Industries, a subsidiary of Northrop Grumman Corp., has delivered the first of five double-hulled crude tankers to Polar Tankers Inc. of Long Beach, Calif. Polar Tankers is a shipping unit of Phillips Alaska Inc., a subsidiary of Phillips Petroleum Co.

The Texas Railroad Commission said the T-4 application for permit to operate a pipeline in Texas is available online. The commission said the action should streamline its pipeline permitting processes.

More in Pipelines