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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Tommaso who wrote (46068)	7/25/2005 4:24:44 PM
From: cyesp	Read Replies (1) \| Respond to of 206084

Tommaso - I believe that storage capacity is indeed increasing, so I would agree that absolute storage volumes should be increasing which is the case. Apparently % of storage is decreasing. From the EIA: >>The extensive underground gas storage support found in the Midwest region was improved somewhat in 2003 with the 5 Bcf expansion of NICOR Gas' storage system located in northeast Illinois (Figure 4). ................ All of the increases to underground storage capacity and deliverability in 2003 in the Western region occurred in Washington State and Oregon, where an additional 1,008 MMcf of working gas capacity and 45 MMcf/d of deliverability were added at two sites (Figure 4). Both sites have been undergoing annual expansions since 1998 in response to a steady increase in demand for storage services ...... For the period between 2004 and 2008, more than 73 underground natural gas storage projects have been proposed; 26 are new facilities and 47 are expansions to existing facilities.(22) These projects have the potential to add as much as 346 Bcf to existing working gas capacity and 17 Bcf/d to daily deliverability (withdrawal capability). Continued emphasis on the development and expansion of high-deliverability, salt cavern storage is especially reflected in the inventory of proposed storage projects. Proposed salt cavern (31) storage projects represent 46 percent of all additional working gas capacity (158 Bcf) and 69 percent (11.5 Bcf/d) of additional deliverability which could be installed over the next 5 years. The rapid cycling capability of salt cavern storage, coupled with its ability to respond quickly to daily, even hourly, variations in customer needs, has made it very attractive to storage developers, whose profitability is often dependent upon their capability to maximize turnover volumes.<< eia.doe.gov