Peregrine Midstream Partners Announces Open Season for
Rockies Gas Storage Project

10.04.10

Houston, TX, October 4, 2010 – Ryckman Creek Resources, LLC, a wholly-owned subsidiary of Peregrine Midstream Partners LLC, will hold a non-binding Open Season for prospective customers interested in contracting for up to 15 Bcf of firm, high-deliverability, multi-cycle (HDMC) gas storage capacity in Uinta County, Wyoming, near the Opal Hub.  The Open Season starts October 6, 2010, with bids due at 5 PM CST on November 1, 2010.

Ryckman Creek is converting an existing partially-depleted oil and gas field, known as the Ryckman Creek Nugget Unit, into a 35 Bcf working gas storage facility with a maximum daily withdrawal rate of 360,000 Mcf.  The initial in-service date is April 1, 2012.  Parties interested in requesting firm capacity in this project should submit a Non-Binding Bid Request Form during the Open Season. 

The project will be subject to regulation as an interstate natural gas storage facility under the Natural Gas Act.  Ryckman Creek Resources, currently in the pre-filing review process with the FERC, intends to file an application for certificate of public convenience and necessity in October 2010 to construct, own and operate the project, as well as to charge market-based rates for the services it will offer.  Submissions that Ryckman Creek has made to the FERC may be found through the FERC’s website (www.ferc.gov) in the eLibrary tab at Docket No. PF10-18-000.

“Currently, there is no gas storage at the Opal Hub, and the area is an excellent location for gas storage due to its liquidity," said Peregrine Managing Director Jeff Foutch.  "The Ryckman Creek Facility, though not located directly at Opal, will offer the same opportunities as storage at the Hub since it interconnects with all of the pipelines serving Opal.  In addition, it will provide tailored gas storage services to meet the needs of a wide range of potential gas storage customers, including electric utilities, IPPs, LDCs, gas producers, and marketing entities doing business in the Rocky Mountain Region and throughout the Western U.S.“

Ryckman Creek currently has interconnects with Questar Gas Pipeline, Kern River Transmission and Questar Overthrust Pipeline.  The project also is planning interconnections with Ruby Pipeline and Northwest Pipeline.

For information on the Open Season, see Peregrine’s website at www.peregrinempllc.com or contact Jeff Foutch, jhfoutch@peregrinempllc.com at 713-974-5606.

About Peregrine Midstream Partners LLC
Headquartered in Houston, TX, Peregrine Midstream Partners is a privately-held company founded in 2009 to pursue development and acquisition opportunities in the midstream energy sector in addition to providing midstream asset management and advisory services.  Peregrine’s midstream business model is focused on natural gas storage, transportation and processing; NGL extraction; crude oil and NGL production, storage, handling, marketing and sales in association with HDMC natural gas storage development and operations; and energy commodity risk management.  Please visit Peregrine Midstream at www.peregrinempllc.com.

 

For more information, please contact: 

Jeffrey H. Foutch

Peregrine Midstream Partners

713.974.5606

jhfoutch@peregrinempllc.com

Carole Minor

Encore Communications

713.880.9550

cminor@encorecommunications.com

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