Questar Pipeline Co. has signed a 22-year service agreement with Washington Natural Gas Co. for 9.8 billion cubic feet of annual firm natural gas storage in its Clay Basin storage reservoir in northeastern Utah.
Last month, Questar conducted an open season to accept requests for 9.8 billion cubic feet of available firm or interruptible natural gas storage service in Clay Basin. During the open season, the company received 38 service requests, 21 for firm service and 17 for interruptible service.Washington Natural Gas Co.'s request proposed purchasing all available capacity. The 9.8 billion cubic feet of annual working gas capacity was offered to new customers under the company's requested open access storage certificate. Questar Pipeline filed an application in February with the Federal Energy Regulatory Commission for a certificate authorizing it to provide open access natural gas storage service at Clay Basin beginning May. 15, 1991.
The Clay Basin reservoir is 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's system operations.
It has a current annual injection capacity of 30 billion cubic feet and can be readily expanded if necessary to meet future needs for additional storage capacity.
On May 1, Northwest Pipeline notified Questar it will reduce its Clay Basin storage requirements from an annual working volume of 10.2 billion cubic feet to 4.8 billion cubic feet. This storage reduction makes additional working gas capacity available to other customers.