Williams pares Northwest gas flows on supply disruption

Williams' 3.8 Bcf/d (108mn m³) Northwest natural gas pipeline system has pared flows to interconnecting pipelines, industrial users and electric utilities in the Western US after losing its biggest source of supply because of a pipeline rupture in Canada.

Northwest normally receives about 1 Bcf/d of gas from Enbridge's Westcoast pipeline through an interconnect at Sumas, Washington, as well as gas from producers in the Rockies and the San Juan basin. Supplies on Northwest were strained when the Westcoast system ruptured near Prince George, British Columbia (BC), Canada, on 9 October. Enbridge closed the 1.6 Bcf/d line from station 2 to the US-Canadian border, near Huntingdon, BC.

Gas prices at Westcoast station 2 fell yesterday to 49¢/mmBtu from $1.68/mmBtu in the prior session. No trade was reported at Sumas yesterday as deliveries there fell to zero. Prices at Sumas averaged $2.97/mmBtu on 9 October.

Williams said it is working to maintain service to residential users, but other consumers such as industrial and electric utilities have voluntarily curbed gas use to reduce load on the system.

"We are closely monitoring the situation, but cannot speculate at this time when Westcoast Energy's supply will be restored," Williams said.

Puget Sound Energy, Washington state's biggest utility, asked customers to cut back on electricity and gas after the rupture, including lowering thermostats and limiting the use of hot water. The utility will use alternative fuels like coal to help meet near-term demand. It also plans to use LNG in storage and gas from the 44-Bcf Jackson Prairie storage site in Lewis County, Washington, to address any supply shortfall.

Northwest will use gas at Jackson Prairie or the 54-Bcf Clay Basin storage site in Dadggett County, Utah, to maintain services to firm transportation customers. Secondary services could be cut to maintain the operational integrity of the pipeline.