Questar Pipeline Co. has had a high level of interest in response to an announcement that it plans to offer open-access natural gas storage service in its Clay Basin facility.
The company will accept requests for both firm and interruptible storage service at Clay Basin until March 31.In late February the company announced it had filed an application with the Federal Energy Regulatory Commission to provide open-access storage service at Clay Basin, located in the northeastern corner of Utah near the Wyoming state line.
Operated by Questar Pipeline since 1976, Clay Basin has provided contract storage service to Northwest Pipeline Corp. in addition to storage service for Questar Pipeline system operations.
Clay Basin has an annual injection capacity of 30 billion cubic feet of natural gas, about a third of which will be marketed to new customers under the requested open-access storage certificate. The reservoir has significant potential for expansion should market interest warrant additional storage capacity, company officials said.
If the FERC is unable to issue an open-access certificate by May 15, Questar is requesting interim authorization that would allow it to proceed with its plans to offer firm and interruptible self-implementing storage service at Clay Basin between May 15, 1991, and March 31, 1992.
During the coming open season, Questar Pipeline will determine firm service priority by calculating the present value of each buyer's service request based on the rates buyers are willing to pay and the term of the service requested.
On May 1, Questar Pipeline officials will notify potential customers of any available interruptible storage service capacity. Priority for interruptible service, if available, will be based on the rates buyers are willing to pay.