Bluewater Gas Storage has applied to build a 300,000 Mcf/d pipeline between Canada and its Michigan storage facility, according to documents released Monday by the US Federal Energy Regulatory Commission.
The company currently leases 250,000 Mcf/d of capacity on a Canadian border pipeline from Nova Chemicals and its Canadian affiliate, Genesis Pipeline. Nova told Bluewater last year that its lease would end in January 2013.
Bluewater said its proposed St. Clair River Crossing Replacement Project is crucial to replace the leased capacity and maintain Bluewater's import and export link to the western Ontario market.
"The purpose of the project is to replace the original pipeline allowing the continuation of flowing natural gas across the international border at this critically important interconnection on the North American natural gas grid."
The company is seeking a presidential permit and other authorizations to build the pipeline from the border, which will be 1,500 feet long and 20-inches in diameter. This line will connect to Bluewater's St. Clair County facilities through a 345-foot pipeline that the company will apply to build under its existing FERC authorizations.
Bluewater owns a 29-Bcf storage facility in St. Clair County that serves customers in Michigan, northern Indiana, northern Illinois and western Ontario. The company asked FERC to decide on the application by May 31 to give it time to complete the project before its existing lease ends.
At the border, the pipeline would connect to a pipeline proposed by St. Clair Pipelines, which will soon file its construction application with Canada's National Energy Board, the application said.
