Destin Pipeline Monday declared force majeure for gas supplies from the offshore Mississippi Main Pass 260 block to the Pascagoula Gas Processing Plant due to a turnaround at the Mississippi plant, Destin said Monday.
The turnaround at the BP-operated Pascagoula plant started Monday and was set to last for about 17 days, Destin said in a notice on its website.
"Destin has arranged for an alternate offshore delivery point to minimize the impact of the processing plant shutdown on its shippers," the company said in a statement. "Viosca Knoll Gathering System (VKGS) has indicated its willingness to accept deliveries on a best efforts, interruptible basis from Destin at its interconnect at MP260, subject to receipt of any necessary regulatory approval."
The force majeure led to a 104,000 Mcf loss so far Monday, according to Bentek Energy, like Platts a unit of the McGraw-Hill Companies.
The force majeure was seen as having little impact on spot prices for next-day gas, with the Florida Gas Transmission Zone 3 rising about 10 cents on average on the IntercontinentalExchange to the low $3.60s/MMBtu. Volumes at that point on ICE fell by almost 90,000 Mcf, to around 20,000 Mcf.
