Southeast Supply Header, LLC (SESH) has signed three additional shippers to long-term contracts, bringing total commitments to nearly 1 billion cubic feet per day (Bcf/d), the initial proposed capacity on the new natural gas pipeline system that is anticipated to be in service by summer 2008.
Southern Company, Tampa Electric Company and EOG Resources, Inc., have committed to a total of 245 million cubic feet per day (MMcf/d) of capacity on the pipeline that will bring natural gas from east Texas and north Louisiana to U.S. markets needing additional natural gas supply.
With previously announced commitments from Florida Power & Light Company and Progress Energy Florida, SESH's total subscribed capacity is now 945 MMcf/d. SESH will continue to solicit shipper interest in the remaining capacity and the market need for a future expansion.
SESH filed an application with the Federal Energy Regulatory Commission (FERC) on Dec. 18, 2006, seeking approval to construct, own and operate the pipeline.
The Southeast Supply Header is a joint venture between subsidiaries of CenterPoint Energy, Inc. and Spectra Energy. The 270-mile, 36-inch and 42-inch diameter pipeline will extend from the Perryville Hub in northeast Louisiana to the Gulfstream Natural Gas System, which is 50 percent owned by an affiliate of Spectra Energy. Along the route, SESH will access several major pipelines serving the eastern United States and have access to several storage facilities.
CenterPoint Energy, Inc., headquartered in Houston, Texas, is a domestic energy delivery company that includes electric transmission & distribution, natural gas distribution, competitive natural gas sales and services, and pipeline and field services operations. The company serves more than five million metered customers primarily in Arkansas, Louisiana, Minnesota, Mississippi, Oklahoma and Texas. Through subsidiaries, the company owns and operates two interstate natural gas pipelines, CenterPoint Energy Gas Transmission Company and CenterPoint Energy-Mississippi River Transmission Corporation. Assets total approximately $17 billion. With about 9,000 employees, CenterPoint Energy and its predecessor companies have been in business for more than 130 years.
Spectra Energy Corp is one of North America's premier pure play natural gas midstream companies serving three key links in the natural gas value chain: gathering and processing, transmission and storage and distribution. For close to a century, Spectra Energy and its predecessor companies have developed critically important pipelines and related energy infrastructure connecting natural gas supply sources to premium markets. Based in Houston, Texas, the company operates in the United States and Canada approximately 17,500 miles of transmission pipeline, 250 billion cubic feet of storage, natural gas gathering and processing, natural gas liquids operations and local distribution assets. Spectra Energy Corp also has a 50 percent ownership in DCP Midstream, one of the largest natural gas gatherers and processors in the United States.