Peregrine Midstream Partners' Ryckman Creek Resources Accepts 7(c) Certificate from the FERC

08.01.11
Houston, TX, August 1, 2011 – The Federal Energy Regulatory Commission (FERC) has issued and Ryckman Creek Resources, LLC has accepted a Certificate of Public Convenience and Necessity under Section 7 of the Natural Gas Act, authorizing the wholly-owned subsidiary of Peregrine Midstream Partners LLC to develop and operate a new interstate natural gas storage facility in Uinta County, Wyoming.  Ryckman filed the 7(c) Certificate application with the FERC in November 2010 and intends to file its implementation plan on August 2, 2011, with construction starting on the facility when the FERC accepts the implementation plan and Ryckman receives final approval from the Bureau of Land Management.
The high-deliverability, multi-cycle (HDMC) natural gas storage project, which is located near the Opal Hub in the Western Rockies, involves converting the partially depleted Ryckman Creek Nugget Unit into a gas storage field with an initial working gas capacity of 18 Bcf when the first phase is completed in 2012.  Ryckman plans to expand working gas capacity to approximately 35 Bcf by spring 2014, increasing to a total capacity of around 50 Bcf when the Phase II expansion is finished.  Maximum injection capability will be 350 MMcfd with a maximum withdrawal capability of 480 MMcfd.
 “We appreciate the FERC's efficient processing of Ryckman's application and recognition of the facility's importance as the largest independently-owned gas storage project serving this part of the Rockies," said Peregrine Managing Director Jeff Foutch.  "Ryckman's open season in October 2010 was oversubscribed by 35 Bcf, reflecting  strong demand for the services we can provide to local markets as well as elsewhere in the Midwest and Western U.S.“
The FERC order authorizes Ryckman Creek to construct and operate a natural gas storage facility consisting of:
• Up to six injection/withdrawal wells
• Two re-entry observation wells and two re-entry/recompletion saltwater disposal wells
• A central gas/liquids separation and processing facility
• 4.8 miles of new eight-inch diameter storage field flow lines connecting injection/withdrawal wells to the processing facility
• Approximately 4 miles of 16-inch diameter header pipeline connecting the processing facility to the Canyon Creek compressor station
• Canyon Creek facilities with four existing retrofit compressors and up to eight new compressors 
• Bi-directional meter stations added to the existing Kern River, Questar and Overthrust pipeline interconnects
Ryckman Creek will offer firm, enhanced and interruptible storage, balancing, wheeling and parking services at market based rates.
About Peregrine Midstream Partners LLC
Headquartered in Houston, TX, Peregrine Midstream Partners is a privately-held company founded in 2009 by the former founders and management team of Falcon Gas Storage 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 Partners 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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