Message-ID: <13510576.1075855492298.JavaMail.evans@thyme> Date: Wed, 18 Apr 2001 05:39:00 -0700 (PDT) From: benledene@aec.ca To: frank.ermis@enron.com Subject: FW: Wild Goose Open Season Package Mime-Version: 1.0 Content-Type: text/plain; charset=us-ascii Content-Transfer-Encoding: 7bit X-From: "Ledene, Ben" X-To: "Frank Ermis (E-mail)" X-cc: X-bcc: X-Folder: \Frank_Ermis_Jun2001\Notes Folders\All documents X-Origin: Ermis-F X-FileName: fermis.nsf > -----Original Message----- > From: Ledene, Ben > Sent: Tuesday, April 17, 2001 11:42 AM > To: 'sgross@newportgen.com' > Subject: FW: Wild Goose Open Season Package > > Expansion Firm Base Load Storage ("BLS") Service Open Season > > Wild Goose Storage Inc. is planning to expand its facility located in > Butte County in northern California and connected to PG&E for service > commencing as early as April 1, 2003. This expansion could increase the > facility capacities as follows: > > Existing Capacity Capacity Following Expansion > Working Gas Volume 14 Bcf 38 > Bcf > Maximum Injection Rate 80 MMcfd 450 > MMcfd > Maximum Withdrawal Rate 200 MMcfd 650 MMcfd > > This open season provides for an in-service date commencing April 1, 2004 > and an opportunity to participate in an "early service option" which could > have service available by April 1, 2003. The in-service date is subject to > CPUC approval by September 1, 2002 and the successful completion of new > facility construction. > > Customer offers are required by 2:00 pm MST, Tuesday May 22, 2001 > > Customer offers must be reasonably open for acceptance by Wild Goose > Storage Inc. until 2:00 pm MST, Wednesday June 20, 2001 subject only to > significant changes in market conditions and final approval of customer's > management. Preference for offer acceptance will be toward longer-term > contracts (greater than 5 years) and offers, which exceed 100% of our rack > rate. The offer sheets are provided in Microsoft Excel and are set up to > calculate the percentage of rack rate for your convenience. It is the > intent of Wild Goose Storage Inc. to negotiate and conclude contracts with > the participants providing acceptable offers in this open season as close > as possible to June 20, 2001. Wild Goose will announce to all contracted > participants whether it will proceed with the expansion in early August > 2001. Wild Goose Storage Inc. reserves the right to not necessarily accept > the highest priced offer nor to award all or any of the storage capacity > available. > > A reasonable summary of the main terms and features of BLS service is > attached for your convenience (Attached File - BLS Summary), but should > not be used as the sole terms by which service is to be provided. All > service is subject to the Tariff Schedules for Natural Gas Storage Service > of Wild Goose Storage Inc., as approved by the Public Utilities Commission > of the State of California. > > For more information about Wild Goose Storage Inc. or to download a copy > of the entire tariff please refer to our web site at > www.wildgoose-storage.com. > > Customer offers must include the following: > > A) Completed Offer Forms (Attached File - Offer Sheets) for each period of > service including: > > * the amount of Inventory Capacity Required for each April to March > period during the term > * the amount of Maximum Daily Injection Quantity Required by month > during the term > * the amount of Maximum Daily Withdrawal Quantity Required by month > during the term > * the Total Storage Demand Charge for each April to March period > during the term > * the Injection Commodity Rate for each April to March period during > the term > * the Withdrawal Commodity Rate for each April to March period during > the term > * a signature from an authorized employee of the company verifying the > offer > > In the 'Offer Sheets' file attachment you will find the following tabs at > the bottom: > > * an offer sheet in Excel format > * a manual offer sheet which can be printed out and filled in by hand > * an example offer > > B) An executed Storage Services Agreement (Attached File - Storage > Services Agreement) unless your company already has one on file with Wild > Goose Storage Inc. > > Early Service Option > > Once Wild Goose Storage Inc. gives notice in early August 2001 to proceed > with the expansion, every effort will be made to complete construction as > early as possible. Notice will be given by November 1, 2002 if service > will be available earlier than April 1, 2004. All contracted participants > will have the right, but not the obligation, to amend their contracts to > the earlier term start date and add this additional service to their > existing contracts at the same fees negotiated for the first year of > service commencing April 1, 2004. > > Rack Rates > Our rates are 'market based' meaning they are fully negotiable, but our > 'rack rates' are as follows: > Monthly Storage Demand Charges > * Inventory($/Dth) $0.03 > * Injection ($/Dth/day) $3.00 > * Withdrawal ($/Dth/day) $2.00 > > Variable Charges > * Injection Commodity Rate ($/Dth) $0.02 > * Withdrawal Commodity Rate ($/Dth) $0.02 > > Fuel Charges > > In addition to the Demand and Variable charges described above, fuel costs > are also charged based on actual consumption by customer and the value of > the gas on a daily basis. Fuel consumption is expected to be between 1.25 > to 1.75%. For details, please refer to the Wild Goose tariff. > > If you have any questions about this matter or need hard copies, please > contact either Ben Ledene with Wild Goose in Calgary at (403) 266-8192 or > Chris Price and Mark Baldwin with Interstate Gas Services in California at > (925) 243-0350. > <> <> < Agreement.doc>> <> - BLS Summary.doc - Expansion Offer Sheet.xls - Storage Services Agreement.doc - Wild Goose Expansion Open Season.doc