Union Gas Announces Binding Open Seasons For Storage and Transportation Services - Duke Energy

News Release
Sept. 5, 2006

Union Gas Announces Binding Open Seasons For Storage and Transportation Services

CHATHAM, Ontario -- Beginning today, Union Gas Limited will conduct two binding open seasons -- a storage deliverability open season for new balancing services and incremental deliverability at its Dawn storage facility beginning in the summer of 2008, and a transportation open season for Dawn- to-Parkway service, effective Nov. 1, 2008. 

In response to growing demand, Union Gas plans to construct up to 412,000 GJ/d of incremental storage deliverability at the Dawn natural gas storage facility in southwestern Ontario, subject to the Ontario Energy Board’s endorsement of market pricing and forbearance from regulating storage services.

Storage Deliverability Open Season

Shippers seeking flexible, short notice storage balancing services are encouraged to participate in the storage deliverability open season.  Services available for bid include High Deliverability Storage, which offers contracting parties a five- or ten-day storage service with firm year-round withdrawals and injections; Upstream Pipeline Balancing, which gives contracting parties with non-uniform downstream demands the ability to schedule deliveries at Parkway to meet their consumption needs, and F24-S, an enhancement to existing and new storage contracts, which provides firm access to existing injection and withdrawal rights, on 13 nomination windows. Union Gas’s in-franchise distribution customers seeking a delivery service tailored to high daily or seasonal injection/withdrawal requirements are also encouraged to participate in the storage deliverability open season.

Transportation Open season

Shippers seeking to transport natural gas on the Union Gas Dawn-Parkway system are encouraged to participate in the transportation open season.  Shippers may bid on firm transportation from Dawn to either Parkway or Kirkwall in order to reach growing markets in Ontario, Quebec and the northeastern United States.  In addition, shippers with multiple or short notice changes to gas supply or transportation requirements have the opportunity to bid on

Union’s new F24-T Service, which provides firm all day access to transportation quantities on 13 nomination windows.  F24-T is also available for bid to existing M12 transportation contract holders; no additional transportation capacity is required.

 “Union’s fully integrated storage and transportation facilities offer access to a variety of gas supply sources, upstream transportation routes, and markets in both Canada and the U.S., and provide competitive service and reliability to our customers” said Steve Baker, vice-president business development, Union Gas.  “Our new storage services provide additional customer flexibility in managing their intra-day balancing and gas requirements on very short notice - making Dawn even more attractive.”

Open Season Contact

Both open seasons close October 6, 2006.  Those wishing additional information on the storage deliverability or transportation open seasons should visit the Union Gas website at www.uniongas.com/openseason, contact their sales representative or:

Carol Cameron
Union Gas Limited

Wayne Passmore
Union Gas Limited

Union Gas is an integrated natural gas storage, transmission and distribution company serving about 1.3 million residential, commercial and industrial customers in more than 400 communities in northern, southwestern and eastern Ontario.  The company also provides storage and transportation services to other utilities and energy market participants in Ontario, Quebec and the United States. Union Gas is a Duke Energy company.

Duke Energy Gas Transmission (DEGT) is a North American leader in the long-haul transportation and storage of natural gas. For more than a half-century, DEGT and its predecessor companies have developed the critically important pipelines and related energy infrastructure that connect natural gas supply sources to premium markets. Based in Houston, Texas, the company's assets include about 17,500 miles of transmission pipeline and more than 250 billion cubic feet of storage capacity in the U.S. and Canada. DEGT also has natural gas gathering, processing and distribution assets and natural gas liquids operations that are among the largest in Canada. More information can be found at: http://www.degt.duke-energy.com.             

Contact: Andrea Stass
Phone: 519-436-5490
24-Hour Phone: 704-382-8333