Kern River solicits interest in Kramer Junction

Kern River Gas Transmission, a Williams-owned pipeline, is considering 
building a new
meter station at a proposed Kramer Junction interconnection with Southern 
California Gas.
In May, SoCal Gas announced plans for a 200 million cfd system expansion, 
called
the Kramer Junction Interconnect project, including a 32-mile pipe that would 
link with
Kern River and Mojave Pipeline. The project is slated for completion at the 
end of December
(GD 5/16).

Kern River is proposing to construct a meter station at Kramer Junction, with 
primary
firm delivery of up to 500 million cfd. Such new capacity, the pipeline said, 
&is reserved to
facilitate a reduction in the facilities otherwise required for [Kern River,
s] planned 2003 Expansion
Project.8 To do so, Kern River will allow existing 2002 and 2003 expansion 
project
shippers to acquire capacity at the Kramer Junction in return for 
relinquishing equivalent firm
delivery entitlements at the Wheeler Ridge, which interconnects with SoCal 
Gas.

To maximize the reduction of design requirements and associated costs in its 
2003 expansion
project, Kern River said it will allocate capacity at Kramer Junction as 
follows:
 Capacity will be allocated to any shipper requesting delivery point 
entitlements to be
re-aligned from Wheeler Ridge to Kramer Junction under certain conditions;
 Capacity will be allocated pro rata among shippers that have no excess 
entitlements but
request to replace Wheeler Ridge entitlements with Kramer Junction 
entitlements; and
 Available capacity will be allocated pro rata among shippers that have 
excess entitlements
and request to replace Wheeler Ridge entitlements with Kramer Junction 
entitlements.
Uncommitted Kramer Junction capacity will be made available to all shippers 
on a first-come,
first-served basis, with requests made no earlier than 25 days before the 
delivery point is
in service, Kern River said. In addition, capacity at Kramer Junction 
delivery point that is
committed to the Kern River 2002 or 2003 expansion projects in this request 
process will also
be available on a first-come, first-served basis.

Interested parties should contact Jeff Leishman at 801-584-6682. VK