East Cheyenne can reconfigure gas storage: FERC

: Natural gas
18/04/18

The Federal Energy Regulatory Commission (FERC) has approved an application from East Cheyenne Gas Storage to amend its existing certificate of public convenience and necessity, allowing the company to reconfigure its storage facilities in northeastern Colorado.

The company has proposed to combine the working gas capacity and cushion gas capacity for its West Peetz and Lewis Creek storage fields, which would increase total working gas capacity by 3.6 Bcf (102mn m³) to a total of 22.5 Bcf.

Cushion gas capacity at the combined site would be reduced by the same amount, 3.6 Bcf, to a total of 12.1 Bcf.

The changes include a unified maximum bottom-hole pressure for the combined reservoir, reconfiguring certain facilities in the Lewis Creek portion of the project, and expanding the buffer zone.

East Cheyenne originally filed the amendment application with FERC in October 2017.

Recent geological data indicated a previously unknown pressure response between the two fields, prompting the company to pursue the amendment.

The reconfiguration is expected to facilitate more efficient development of the reservoir, and allow customers to benefit from the availability of additional working gas capacity in the market, FERC said in a filing this week.

FERC also approved East Cheyenne's request for an order reaffirming the company's authorization to change market-based rates for firm and interruptible storage and hub services.

East Cheyenne's request for a continuation of waivers pertaining to reporting and accounting requirements was also approved, with exception of an annual charge assessment.

The company is required to file gas volume information, in order to permit the commission to accurately calculate the annual charge.

The East Cheyenne Gas Storage facilities are in Logan County, Colorado, about 37km (23 miles) north of Sterling, Colorado, and near the Nebraska-Colorado border.

FERC authorized the construction of the facilities in August 2010, which began commercial operations in April 2012. The storage facilities are located near the Rockies Express (REX) and Trailblazer interstate natural gas pipelines.

East Cheyenne Gas Storage is a wholly owned subsidiary of Midstream Energy Holdings.

Related news posts

Argus illuminates the markets by putting a lens on the areas that matter most to you. The market news and commentary we publish reveals vital insights that enable you to make stronger, well-informed decisions. Explore a selection of news stories related to this one.

26/05/15

Western Australia to retain 15pc gas reservation rule

Sydney, 15 May (Argus) — The Australian federal government's newly announced 20pc gas reservation mandate will not apply to Western Australia (WA) state, which will retain its 15pc rule following consultation. WA has engaged with Canberra to understand the policy implications of its decision, a WA government spokesman said on 15 May, with assurances provided that WA's existing gas reservation policy will "satisfy any requirements of a national scheme". WA instituted rules reserving 15pc of all gas volumes from the state's four onshore LNG terminals for domestic supply in 2006. But Canberra had said it would apply laws requiring volumes equal to 20pc of LNG export volumes to be reserved for Australian users nationally. "This is across the board, it's national, no one is exempt," resources minister Madeleine King on 7 May. "We will go through a process with the [WA] government around how the WA existing domestic gas reservation policy is taken into account." WA is not connected to Australia's eastern states via either gas or electricity networks and hosts the Woodside-operated 14.3mn t/yr North West Shelf and 4.9mn t/yr Pluto terminals, as well as Chevron's 8.9mn t/yr Wheatstone and 15.6mn t/yr Gorgon LNGs. Mandate shortfalls Despite the 15pc mandate in WA existing for nearly 20 years, a 2024 parliamentary report found just 8pc of volumes of gas had actually reached domestic users but LNG projects including Australian independent Woodside Energy's 4.9mn t/yr Pluto terminal were making commitments to increase flows. The state eventually softened restrictions to allow onshore developers of gas fields to export about 20pc of their output as LNG during a five-year window in a bid to drive new investment. The federal 20pc domestic reservation scheme was announced prior to consultation commencing, but it now appears it will only apply in full to the three Gladstone harbour-based projects. Some companies operating in Australia's eastern states told Argus they expect this to begin from later next week, while King has also promised talks with the Northern Territory (NT) government about the reservation's impact there. The NT, where the 3.7mn t/yr Darwin and 9.3mn t/yr Ichthys LNG terminals are located, has a small population and no significant pipeline connection to the east coast gas grid. The reservation scheme will respect all LNG export contracts entered into before Canberra's announcement of the plan on 22 December 2025 , King has said. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

New Zealand’s Meridian reports higher hydro storage

26/05/15

New Zealand’s Meridian reports higher hydro storage

Sydney, 15 May (Argus) — New Zealand utility Meridian Energy reported higher hydropower storage levels and stronger electricity demand in April, as the country heads into the winter peak demand season with well-supplied generation reserves, it said today. Meridian Energy generated 1,009GWh of electricity in April, up by 13.5pc from 887GWh a year earlier, reflecting stronger hydro generation despite weaker wind output. National hydro storage increased to 119pc of the historical average on 11 May from 106pc on 13 April. South Island storage reached 109pc of average levels, while North Island storage surged to 201pc of average following heavy rainfall events. The elevated storage levels could reduce pressure on New Zealand's major non-renewable electricity generator, the 953MW Huntly power station on the North Island operated by Genesis Energy, which can run on coal or gas. Genesis cut its combined coal- and gas-fired output at Huntly by 45pc year-on-year to 869GWh in July–December 2025, explicitly attributing the reduction to increased hydroelectric generation. Coal- and gas-fired output from Huntly's Rankine units fell from 812GWh to 242GWh over that period, while output from its gas-fired units dropped from 755GWh to 627GWh. The four major New Zealand utilities — Genesis, Mercury, Meridian and Contact — agreed to underpin a coal-fired power reserve at Huntly, offering 150MW of Huntly Firming Options (HFOs) to market participants from 1 January to provide system security when hydro, gas and wind supplies are limited. Genesis has also set aside up to 600,000t of coal for dry winter conditions, with the HFOs intended to help limit wholesale power price volatility during peak winter demand. Genesis is also set to commission a 200MWh battery system at Huntly in July–September, coinciding with the peak winter demand period. By Lawrence Wen Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

UK to introduce Energy Independence Bill: Government

26/05/14

UK to introduce Energy Independence Bill: Government

London, 14 May (Argus) — The UK government will introduce an Energy Independence Bill that would permanently ban new exploration licences in the North Sea and implement other energy policies, it said in the King's Speech policy announcement on 13 May. The bill will introduce "Transitional Energy Certificates, and show climate leadership by meeting the manifesto commitment not to issue new licences to explore new fields, including delivering the commitment to ban fracking", according to the King's Speech document released by the government. The legislation could be introduced soon, as part of the current legislative period, as some bills announced in the King's Speech are already on Thursday's House of Commons agenda. The UK government had already committed not to issue new oil and gas exploration licences in the North Sea, but it has recently come under increased pressure from energy industry groups, firms, political parties and some unions to revise this commitment. Under the proposed system of Transitional Energy Certificates, the government aims to maximise output from existing offshore fields by allowing firms to produce gas from areas adjacent to licensed blocks. The bill also includes plans to accelerate the deployment of clean energy and grid infrastructure, end new coal licences, create a Warm Homes Agency, implement new rules for landlords to invest in home upgrades and give UK energy regulator Ofgem more powers to protect consumers. Labour leadership challenges could upend plans A leadership challenge to replace prime minister Sir Keir Starmer could delay or weaken plans to ban new North Sea exploration licences. Four ministers had stepped down in recent days at the time of writing, calling for Starmer to resign and for a leadership contest to take place. "It is now clear that you will not lead the Labour party into the next general election and that Labour MPs and Labour unions want the debate about what comes next to be a battle of ideas. It needs to be broad, and it needs the best possible field of candidates," health secretary Wes Streeting said to Starmer in his resignation letter posted on X on Thursday. A leadership challenge could delay current bills being put forward, but it could also bring a leader more supportive of North Sea oil and gas production, whether to boost economic activity or protect jobs. The Unite union — a traditional ally of the UK's left-leaning Labour government — called for the government to "stop blocking oil and gas production in the North Sea" and to immediately give the go-ahead for the Rosebank oil and gas field development in March, along with the Shell-operated Jackdaw gas condensate project. "The government's position on oil and gas is putting jobs and national security at risk," Unite general secretary Sharon Graham said. The GMB union — another Labour ally — has also previously opposed the ban, and its Scottish branch said in April that a "rushed rundown of oil and gas production risks a jobs calamity and should be paused". Current frontrunners for a possible Labour contest include right-leaning Streeting, who could favour a more pro-growth approach, and soft left former minister Angela Rayner and Manchester mayor Andy Burnham, who have both shown support for North Sea bans. By Lucas Waelbroeck Boix Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Institutions lack fossil finance phaseout plans: Report

26/05/14

Institutions lack fossil finance phaseout plans: Report

London, 14 May (Argus) — Major financial institutions lack "robust commitments" to restrict or end the financing of fossil fuels, data from non-profit organisation World Benchmarking Alliance (WBA) show today. WBA assessed 400 financial institutions, including banks, insurers, asset managers and asset owners. Of these, just two — Dutch bank ING and Swiss bank Zurcher Kantonalbank — have commitments to both phase out existing exposure to fossil fuels and stop new financing flows, WBA found. Of the institutions it evaluated, 15pc reported on financed fossil fuel activity, WBA added. Financial institutions' reporting on their finance for "low-carbon solutions" was higher, at 26pc, WBA found. Moving away from financing fossil fuels is "a step companies must take to demonstrate credible transition strategies and address escalating energy risks", WBA said. Fossil fuel combustion accounts for around 70pc of global greenhouse gas emissions. Of the financial institutions it assessed, more than a third "have initial signs of transition planning towards a low-carbon economy", WBA said. But it pointed to "major gaps" in the plans' credibility. For WBA to deem the transition plans as credible, they must have "sectoral targets for financing low-carbon solutions" for 2030, in line with a 1.5°C pathway. Banks lead the way, according to WBA data, with a "time-bound" and 1.5°C-aligned financing target present in a fifth of their transition plans. But such targets are included in far fewer plans from insurers, pension funds and asset managers, at 10pc, 7pc and just under 3pc, respectively, WBA found. The Paris climate agreement seeks to limit the global rise in temperature to "well below" 2°C above pre-industrial levels, and pursues a 1.5°C threshold. Some financial institutions have rolled back on climate-related pledges or action in recent months, most notably in the US . UK bank NatWest has removed some prohibitions on financing oil and gas producers , while UK-based HSBC and Spain's Santander have "weakened commitments to shift capital away from high-polluting clients", non-governmental organisation ShareAction said. Net zero investor initiative Net Zero Asset Managers (NZAM) relaunched in late February with weakened climate targets. And members of the equivalent initiative for banks, NZBA, voted in October to wrap up the alliance . The group's guidance for banks on setting climate targets remains available. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

South Australia plans to lift gas fracking ban

26/05/14

South Australia plans to lift gas fracking ban

Sydney, 14 May (Argus) — The South Australian (SA) Labor government plans to remove a 2018 ban on fracking for oil and gas in the South East region, a prime agricultural province, two years ahead of the law's expiry. The 10-year moratorium on hydraulic fracturing — a technique that involves injecting high-pressure fluid into underground rock to release oil and gas — was imposed on the region in November 2018 by a previous Liberal government to protect water resources. South Australia shares the onshore Otway basin with neighbouring Victoria. But SA allowed fracking to continue in the state's other major oil and gas region, the Cooper basin, where Australian independent Santos operates the 250 TJ/d Moomba gas plant . More than 1,300 wells have been fracked in the Cooper basin since 1969 without impacts on aquifers, the state government said on 14 May. The Energy Resources (Regulated Activities) Amendment Bill will be introduced to parliament next week. It would have to pass the state's upper chamber of parliament, the Legislative Council — where Labor does not hold a majority — in order to end the moratorium early. The opposition Liberal party has called for consultation and said that, while it supports increased gas production, the region has a different environmental and economic context to Moomba. The Liberals and South Australian Greens are unlikely to support the proposed legislation, meaning Labor would need the support of the far-right One Nation party, which won a historic three seats in the 22-member chamber in the March poll. One Nation has called for a pro-drilling policies, but the party recently won the state seat of MacKillop in the South East, centred on the agricultural towns of Naracoorte, Millicent and Bordertown where community opinion largely opposes gas fracking. Australian independent Beach Energy, the largest acreage holder in the region, welcomed the move, saying it created future options for the safe and responsible development of the SA Otway basin. The South East region hosts the 10 TJ/d (267,000 m³/d) Katnook gas plant in the Penola district, owned by Beach since 2011. The facility, connected to the 314 TJ/d SEA Gas pipeline, was mothballed between July-September 2022 as available reserves proved insufficient to run the plant. Any moves to restart Katnook would not require fracking to produce initial feedstock, Beach said. But an early expiration of the moratorium would raise investment confidence in greater exploration to sustain medium term production over the years to come. By Tom Major Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.

Business intelligence reports

Get concise, trustworthy and unbiased analysis of the latest trends and developments in oil and energy markets. These reports are specially created for decision makers who don’t have time to track markets day-by-day, minute-by-minute.

Learn more

East Cheyenne can reconfigure gas storage: FERC

Related news posts

Western Australia to retain 15pc gas reservation rule

Western Australia to retain 15pc gas reservation rule

New Zealand’s Meridian reports higher hydro storage

New Zealand’s Meridian reports higher hydro storage

UK to introduce Energy Independence Bill: Government

UK to introduce Energy Independence Bill: Government

Institutions lack fossil finance phaseout plans: Report

Institutions lack fossil finance phaseout plans: Report

South Australia plans to lift gas fracking ban

South Australia plans to lift gas fracking ban

Argus North American Long-Term Electricity Forward Curves

Argus North American Long-Term Electricity Forward Curves

Argus North American Long-Term Electricity Forward Curves

Argus North American Long-Term Electricity Forward Curves

Argus Carbon

Argus Low Carbon Hydrogen Strategy Report

Argus Hydrogen and Future Fuels

Business intelligence reports