Panhandle Eastern Pipe Line Company, LP

Request for PROPOSAL REVISED

 

REQUEST FOR PROPOSAL

 

Panhandle Eastern Pipe Line Company, LP (Panhandle) has contracts for storage expiring on March 31, 2021. Accordingly, Panhandle hereby solicits binding proposal(s) from all Bidders interested in providing (i) up to 34,007,753 Dth of natural gas storage service to Panhandle with physical injection and withdrawal points located on Panhandle in Panhandle's Field Zone upstream of Haven, Kansas, and/or (ii) up to 23,110,137 Dth of natural gas storage service to Panhandle with physical injection and withdrawal points located on Panhandle's system downstream of Tuscola, Illinois.

 

Proposals are due no later than 12:00 pm CST on Wednesday, March 17^th, 2021. Bidders will be notified within 5 business day of the status of their proposal.

 

SERVICE REQUIREMENTS FOR FIELD ZONE

 

Nature of Service:	Firm Storage
Term:	April 1, 2021 - March 31, 2024
Storage Quantity (MAQ):	34,007,753 Dth
Injection Quantity (MDIQ):	188,932 Dth/d (April-October)
Withdrawal Quantity (MDWQ):	340,078 Dth/d (November-March)

 

Proposed injection and withdrawal points must be located on Panhandle and must be a physical meter. Adequate firm capacity must be available at physical meter locations. If upstream transportation is to be utilized to provide for the delivery and receipt at the physical Panhandle meter, verification that such upstream transportation is provided on a firm basis must be provided. A 5-year history of any curtailments or interruptions on such upstream system must also be provided.

 

Storage Ratchets associated with this service should be at least as flexible as follows:

 

Injections

100% of MDIQ until 90% of MAQ injected

60% of MDIQ >90% until 95% of MAQ injected

35% of MDIQ >95% of MAQ injected

 

Withdrawals

100% of MDWQ until 50% of MAQ withdrawn

60% of MDWQ >50% until 75% of MAQ withdrawn

35% of MDWQ >75% of MAQ withdrawn

 

In addition, the nominations and scheduling of this service must be fully equivalent with the procedures set out in Panhandle's FERC Gas Tariff, General Terms and Conditions.

 

SERVICE REQUIREMENTS FOR DOWNSTREAM OF TUSCOLA

 

Nature of Service:	Firm Storage
Term:	April 1, 2021 - March 31, 2024
Storage Quantity (MAQ):	23,110,137 Dth
Injection Quantity (MDIQ):	128,390 Dth/d (April-October)
Withdrawal Quantity (MDWQ):	344,927 Dth/d (November-March)

 

Proposed injection and withdrawal points must be located on Panhandle and must be a physical meter. Adequate firm capacity must be available at physical meter locations. If upstream transportation is to be utilized to provide for the delivery and receipt at the physical Panhandle meter, verification that such upstream transportation is provided on a firm basis must be provided. A 5-year history of any curtailments or interruptions on such upstream system must also be provided.

 

 

Storage Ratchets associated with this service should be at least as flexible as follows:

 

Injections

100% of MDIQ until 75% of MAQ injected

60% of MDIQ >75% until 90% of MAQ injected

40% of MDIQ >90% of MAQ injected

 

Withdrawals

100% of MDWQ until 60% of MAQ withdrawn

50% of MDWQ >60% until 85% of MAQ withdrawn

25% of MDWQ >75% of MAQ withdrawn

 

In addition, the nominations and scheduling of this service must be fully equivalent with the procedures set out in Panhandle's FERC Gas Tariff, General Terms and Conditions.

 

PROPOSAL REQUIREMENTS

 

In order for Panhandle to evaluate the proposals and reliability of storage services offered, Bidders should include the following information:

 

         Full description of the storage service and associated rights, including but not limited to:

a)      Storage Quantity

b)      Injection Quantity

c)      Withdrawal Quantity

d)      Out of Season Injection/Withdrawal Rights

e)      Overrun Rights

f)       Injection/Withdrawal Ratchets (if applicable)

g)      Nomination and Schedule of Service

h)      Upstream Transportation requirements and rights

 

         Description of the applicable rate structure, including but not limited to:

a)      Reservation Charge(s)

b)      Injection Charge

c)      Withdrawal Charge

d)      Overrun Charges

e)      Out of Season Injection/Withdrawal Charges (if applicable)

f)       Applicable Surcharges

g)      Injection Fuel

h)      Withdrawal Fuel

i)       Any other applicable charges

 

         List of primary and secondary injection and withdrawal points

         Credit requirements

         Copy of related tariff sheets (if applicable)

 

OTHER

 

For operational purposes, Bidders may not propose storage services in quantities less than 10,000,000 Dth. Preference is given to storage proposals that provide for injection and withdrawals at all times of the year. Panhandle shall consider all bids, but will determine the winning bids that result in the provision of the total storage capacity required.

 

Proposals are binding

 

EVALUATION AND AWARDING OF PROPOSALS

 

Panhandle reserves the right to reject any and all proposals, or to accept nonconforming proposals in a not unduly discriminatory manner. Evaluation will consider cost as well as Panhandle's operational requirements.

 

CONTACT INFORMATION

 

Please direct questions and proposals to:

 

Joey Colton

Panhandle Eastern Pipe Line Company, LP

1300 Main St.

Houston, TX 77002

Office: (713) 989-7266

Fax: (713) 989-1177

E-mail: joey.colton@energytransfer.com